On 13 August 2015, the Migration Advisory Committee (MAC) published its report pertaining to in-depth analysis on salary thresholds under the Tier 2 route of the Points Based System (PBS).

A little while back in June 2015, the MAC was commissioned by the government to undertake a review of and address the concerns surrounding the steadily increasing number of migrants applying to enter and stay in the UK under Tier 2 of the PBS-see our previous post. The MAC were also tasked with examining UK companies’ apparent reliance on migrants from outside the European Economic Area (EEA) to fill talent shortages in specific areas.

Furthermore, the government also requested that the MAC provide advice upon the possible impact on net migration that would result from setting new minimum salary thresholds in an effort to lessen the number of Tier 2 migrants in the UK. Thus, taking steps to ensure that Tier 2 migrants were not undercutting the settled UK labour force.

In particular, the MAC was tasked with addressing the following:

  • Increasing the minimum salary thresholds for Tier 2 (General), Tier 2 (Intra-company Transfer) for the short-term and long-term categories to a level that better aligns with the salaries paid to highly-specialised experts or individuals filling skills shortages skilled to NQF Level 6 or higher.
  • Increasing the Tier 2 minimum salaries for experienced workers per occupation.
  • Increasing the Tier 2 minimum salaries for new entrant workers per occupation.

In its report, the MAC is strongly advising the government not to make any hasty decisions and exercise caution with regard to any concrete early decisions. For a full copy of the MAC’s report please click here.