Responding to today’s post-Brexit immigration policy announcements, the CIPD’s Senior Labour Market Adviser, Gerwyn Davies, comments:

"The new migration restrictions should enable many organisations to continue to meet their skills needs, albeit with more bureaucracy and cost. On the plus side, employers will be particularly relieved to see the government agree to a lower minimum salary threshold of £25,600 and an even lower threshold for shortage occupations.

"However, employers with large numbers of low-paid staff will have real concerns that the new system will worsen existing labour shortages - given the only routes for low skilled migrant labour will be through the dependents of skilled migrants and the Youth Mobility Scheme.

"Another significant concern is that most organisations seem completely unprepared for the bureaucracy and cost of the incoming points-based system. This includes the cost of visas for both recruiting overseas nationals and short-term business visits. Employers therefore need to get up to speed with the new system quickly and adapt their workforce planning strategy accordingly.

"All organisations will also have to ensure they maximise their ability to recruit, train and retain a more diverse UK-born workforce, which will mean investing more in how they manage and develop their people."

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