While it may be considered politically wrong to use the term 'young people' when referring to 'new entrants' due to age discrimination rules, the new entrant criteria for skilled worker visa applicants is designed for those new to employment. Since the age limit is a requirement for a worker to be considered a 'new entrant', the employer might use this category to hire young applicants who are already skilled or have the potential to become skilled in the job. It is not surprising to consider that it is done simply for the reason of doing it.
However, according to Home Office guidance, a ''new entrant'' means a new entrant into the labor market, i.e. a person at the beginning of their career who meets certain criteria. This does not refer to applicants applying for a Skilled Worker visa for the first time or entering the UK for the first time.
Therefore, it is crucial to bear in mind that "new entrant" is a technical term that the Home Office has assigned a particular meaning.
Who can be a ''new entrant'' on a Skilled Worker visa - what are the specific criteria?
The reason it's important to know who qualifies as a ''new entrant'' for a Skilled Worker visa is that they may be eligible to apply for a Skilled Worker visa with a lower minimum salary.
The official Home Office definition of a skilled worker visa applicant who is a ‘new entrant’ is a person who meets ONE or more of the following eligibility criteria:
1. Applicant is under the age of 26 on the date of application;
2. Applicant is sponsored for a postdoctoral position in certain, limited occupations;
a. 2111 Chemical scientists
b. 2112 Biological scientists and biochemists
c. 2113 Physical scientists
d. 2114 Social and humanities scientists
e. 2119 Natural and social science professionals not elsewhere classified
f. 2311 Higher education teaching professionals; or
3. Applicant is working towards a recognized professional qualification in a UK-regulated profession;
4. Applicant is working towards full registration or chartered status with a relevant professional body for the job for which they are sponsored;
5. Applicant is switching from Tier 1 (Graduate Entrepreneur);
6. Applicant’s most recent permission was under Tier 4 (General) or the Student route, and meets the conditions for switching;
7. Applicant’s most recent permission was under the Graduate route
What is the minimum salary for a ''new entrant''?
The minimum salary for a ''new entrant'' must be over £30,960 and 70% of the pro-rated going rate for your occupation code, whichever is higher. When you compare, you will note that the new entrant minimum pay is significantly lower than the standard skilled worker minimum pay of £38,700 per year and 100% SOC code going rate.
The lower minimum salary requirement for ‘new entrants’ is an important factor for many sponsor employers. The sponsorship is much less costly when you sponsor a ‘new entrant’ migrant.
For how long can a migrant worker become a ''new entrant''?
A new entrant applicant is usually in the early stages of their career and, if they can meet defined criteria, can be paid a reduced salary for a maximum of four years.
When hiring graduates to meet the salary threshold, some corporate sponsors typically rely on the new entrant rules. However, where applicable, annual salary increases may result in their sponsored employees reaching the higher salary amount after four years through natural salary progression.
However, while individuals on hold of a Graduate visa do qualify for the new entrant provisions, the entire length of their sponsorship may be restricted due to the time they spend on their Graduate visa.
The period of four years includes a period of time spent under a Graduate/Tier 2/Skilled Worker visa. In practice, this implies that if an individual switches from a Graduate visa to the Skilled Worker route at the end of their two-year Graduate visa, they can only be sponsored for a period of two years if they depend on the new entrant provision.
They have the option to extend, however, once they do so, they will no longer be able to take advantage of the new entrant rates.
Does it matter whether a skilled worker visa applicant is a ''new entrant'' or not?
Whether or not an applicant for a skilled worker visa is classified as a new entrant is significant. The primary benefit for the sponsoring employer, who holds a sponsor licence, is that they are able to set a 30% reduced minimum salary requirement for the skilled worker visa holder compared to an applicant who fails to satisfy the eligibility requirements for a new entrant.
The Home Office's newly announced modifications make no mention of the status of new entrants. It is expected that reduced salary thresholds will continue to apply to this group, although definitive assurances cannot be given.
In light of the considerable increases in the going rates and the general minimum salary, it is possible that the provisions relating to new entrants will gain greater prominence. Consequently, they should not be disregarded as an essential alternative for sponsoring a specific group.
The approach for new entrants to be paid reduced salaries for up to four years offers a strategic advantage to both businesses and individuals under current immigration rules. Businesses will be able to access global talent at an earlier stage in their careers, and individuals will be able to join the UK workforce under more attainable conditions. However, to maximize these opportunities and comply with the UK immigration system, it is important to be aware of potential changes to the rules.
For expert advice and assistance in relation to a Skilled Worker visa application, including applications for new entrants, contact us on 0203 865 6219 or leave a message on our website.