What Are the Responsibilities of a Sponsorship Licence Holder?

When Do Sponsor Licence Duties and Responsibilities Start?

As soon as you get your sponsorship licence, your duties start. They last from the day you get your licence until the day it’s either given up, becomes inactive, or is taken away.

But here’s a thing to remember: even before you officially get your licence, there’s some work to do. During the initial sponsor licence application, you need to show proof of certain steps you’ve taken related to immigration rules. Simply put, you need to be ready and show that you can follow the rules even before your licence is approved.

Now, when it comes to individual employees you’re sponsoring, your duties for them begin the moment you give them the Certificate of Sponsorship. It ends when the employee’s UK stay permission expires, or they leave the country. It could also end if they’re denied permission to enter or stay in the UK and have no more chances to appeal that decision. 

Moreover, if they find another sponsor or if you tell the Home Office you’re no longer sponsoring them, your duties towards that employee stop. Simply put, being a sponsor means you have ongoing duties from the start of the application process and through each worker’s time in the UK.

Also read: How Does UK Visa Sponsorship work for Companies?

Sponsor Licence Holder Duties

There are clear benefits of having a UK sponsor license, however every UK business that acquires one should be deeply aware of the responsibilities that come with it. The Home Office has stringent requirements in place to ensure compliance, and failure to do so can lead to serious consequences, including licence revocation. 

Let’s explore specific areas of duties and compliance that every sponsor licence holder must observe.

Compliance with Immigration Rules and UK Law

One of the key responsibilities of a sponsor licence holder is to stay compliant with UK immigration laws. It is crucial to ensure that every sponsored worker maintains their immigration status and sticks to the conditions of their UK visa. For instance:

• Sponsors must ensure that foreign workers are qualified and accredited for their sponsored employment.
• They need to conduct right-to-work checks to confirm that every worker has the legal right to work in the UK.
• They must also comply with all UK employment laws, ensuring that the terms of employment, including pay and working conditions, adhere to UK standards.

If there are any issues – for instance, if a worker suddenly stops coming to work – sponsors must promptly report these to the Home Office using its Sponsorship Management System (SMS). Non-compliance or illegal working can lead to severe ramifications, including licence revocation, thus underlining the importance of these duties.

Sponsor Licence Reporting Duties

Consistent communication with the Home Office is another vital sponsorship duty.  When certain situations arise with your sponsored workers, it’s not just good practice but a requirement to keep the Home Office in the loop through the SMS portal. If you come across any of the following scenarios, you will need to report within 10 working days:

• A no-show on day one: If your sponsored worker doesn’t make an appearance on their scheduled first day.
• Change of plans: If you had to end a sponsored worker’s contract sooner than expected.
• Unplanned breaks: If a sponsored employee misses 10 or more days of work without prior permission. It’s essential for sponsors to make these absences authorised – be it due to illness, vacations, or something else.
• Changes in a contract: Significant modifications in the terms of a sponsored worker’s contract, for instance, if the worker’s contract has been transferred to a different sponsor under TUPE regulations.

Record-Keeping

Documentation plays an important role in ensuring compliance with sponsorship duties. It’s essential for sponsors to ensure all relevant documents related to each sponsored worker are maintained. This includes the contract of employment, copies of the worker’s visa, passport, biometric residence permit, national insurance number, contact details and documentation that validates the worker’s skills and qualifications.

By maintaining these records, a sponsor can quickly address any inquiries or audits by the Home Office, thereby proving their commitment to compliance.

Appointing Key Personnel

As part of the sponsor duties, the UK-based employer will need to appoint key personnel to manage the sponsorship process and ensure that all duties are executed seamlessly. The roles include:

• Authorising Officer: This individual has the primary responsibility of ensuring that the sponsor complies with UK immigration laws. The authorising officer should have a significant authority within the UK business, ensuring that decisions related to sponsorship are aligned with the business’s core values.
• Key Contact: As the name suggests, key contacts are the main line of communication between the sponsor and the Home Office. They are responsible for receiving all official communications regarding the sponsorship licence.
• Level 1 User: Designated with the day-to-day management of the sponsorship via the online Sponsor Management System, this individual can assign the certificate of sponsorship to workers and report migrant activity.
  

It’s imperative that these roles are filled by trustworthy individuals, as they will be handling sensitive data and are integral to ensuring that the sponsor’s duties are met.

Reporting Organisational Changes

Changes in an organisation’s structure or operations can have consequences on the sponsorship licence. Thus, sponsors must be proactive in reporting these to the Home Office using SMS within a specific period of time. This includes:

• Changes in trading status, such as ceasing operations or insolvency.
• Substantial shifts in the business nature or size of the organisation.
• Mergers, acquisitions, or takeovers that could alter the company’s ownership or structure.
• Changes affecting the sponsor’s relationship with overseas businesses sending workers to the UK.