Game Republic

Picture of two people Nimesh Lathia, Associate & Sara Giuliani, Paralegal, Fragomen LLP with Fragomen logo

Immigration implications of redundancies in the gaming sector

Whilst games companies in Yorkshire and The North remain relatively resilient the gaming industry hasn’t been spared from a spate of layoffs and impacts of a shaky economy, with more than 6,000 gaming jobs estimated to be lost in the UK so far this year. If you have personally been impacted by recent layoffs we recommend reading the article provided by Andy Coley and Phil Foxton a few months ago.

With such a highly internationalised workforce, redundancies in the sector bring additional considerations where immigration status often depends on being sponsored by an employer.  Nimesh Lathia, Associate & Sara Giuliani, Paralegal, from Game Republic Affiliate member Fragomen LLP have provided the following update which they hope will be useful for studios of all sizes all about the specific immigration impacts from an employer and employee perspective.

Employer View – obligations for your sponsored employees

Any business embarking on layoffs or terminations involving foreign nationals must notify the Home Office they are withdrawing visa sponsorship for the employees’ who are being made redundant within 10 working days of the impacted cohorts’ last working day. Failure to do so is a breach of the business’ duty as a sponsor licenced by the Home Office. This in turn can lead to compliance action, including suspension of the sponsor licence and thus the ability to sponsor further visas.

The notification requires the business to provide the reason for termination of employment, the employee’s forwarding residential address, and their personal email address. It is vitally important for the employee, that this information is accurate and current as the Home Office will rely on this when contacting the employee about their immigration status.

Employee View – process and visa status

Once an employer informs the Home Office of termination of employment of a foreign national it triggers a process that will lead to the visa being shortened, technically referred to as curtailment. During this shortened validity period, the employee must either apply to extend their immigration permission with another sponsor or in another category. Failing this, they must leave the UK before the new expiry date of their visa.

The Home Office will use the contact details provided by the employer to provide formal notice of the curtailment. It’s important that employees keep the Home Office updated of any change of address or email address. The decision from the Home Office will depend on the validity of the employee’s existing visa. If there’s more than 60 days left on the validity, the new expiration date will be 60 days starting from the date of the notice from the Home Office. If the employee has fewer than 60 days remaining, the Home Office should not shorten the period.

Affected employees should not wait for the curtailment letter to arrive before deciding whether to obtain sponsorship with another employer, switch to another visa category or leave the UK. There have been notable instances of such notices being dispatched by the Home Office but not received by the individual.

Individuals should also be aware that once an employer has withdrawn sponsorship they should not seek to leave and re-enter the UK until they have resolved their status. If they do leave and try to re-enter the UK, they may be denied entry and their existing visa cancelled.

What are the employee’s options:

In this scenario there are two options available to remain in the UK:

1: Secure sponsorship from another employer:

If the impacted employee can secure a role with another business, they should be able to apply for a new sponsored visa using sponsorship from their new employer.

This new application must be submitted before the current visa expires. It should also be noted that the individual cannot start their new role until they have obtained their new visa, but they can continue to live in the UK whilst a decision is being made on the application.

2: Move to a different visa route:

There are many different visa routes in the UK’s immigration system. The most used routes, aside from employer-sponsored are:

  • Family visas – these routes cater for those with a spouse or unmarried partner with an existing UK visa or British passport.
  • UK Ancestry visa – this route provides for individuals with Commonwealth citizenship and an intergenerational link to the UK to secure work visa for the UK.
  • Youth Mobility visa – this route is available to individuals aged 18 to 30 (or 35 in certain cases), to live and work in the UK for two years. The individual must hold a passport from a participating country.
  • Global Talent visa – this route provides for recognised leaders and future leaders in the field of digital technology to secure a five-year work visa. It requires endorsement from the Government-approved sector body (currently Tech Nation’s evidence of the individual’s status as a leader in the field.

In such turbulent times, the propensity to take risks is usually much higher than the norm. However, all employers and employees should remain responsible and within the laws so as not to face further penalties following redundancy actions. It is important to consider and exercise all possible, legal options and ensure to obtain sound advice from an immigration provider when deciding what to do next. Unlike an unwise decision in a favourite RPG, there will be no alternative save files to go back to and try again in a real-life immigration employment situation

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