Navigating Changes to the Skilled Worker Route: What Existing Workers Need to Know

On 4^th April 2024, changes to the Skilled Worker visa route came into effect, increasing the general minimum salary threshold to £38,700 per year from £26,200 per year.

Anyone applying for their first Skilled Worker visa after 4^th April 2024, shall now be required to be paid at least £38,700 per year; the relevant going rate for their specific occupation; and, at least £15.88 per hour to qualify for a Skilled Worker visa (unless one of the limited exceptions applies).

What do the recent changes mean for existing Skilled Worker visa holders?

In addition to the increase to the general salary threshold for Skilled Workers, the relevant Immigration Rules (Appendix Skilled Worker) have been amended to include transitional provisions for Skilled Workers who were granted permission under the Immigration Rules in place before 4^th April 2024.

The new Skilled Worker rules require workers to score 20 points for the salary requirement under one of 11 options (Options A to K). However 5 of the 11 options are reserved for Skilled Workers who received their visas before 4^th April 2024 provided they meet the following requirements.

“Legacy” Skilled Workers can rely on lower salary thresholds, if:

• they were granted permission as a Skilled Worker based on the rules in force before 4^th April 2024;
• the date of their new Skilled Worker application is before 4^th April 2030; and
• they have held continuous permission as a Skilled Worker since the relevant period of permission granted before 4^th April 2024.

Please note, a limited number of health and care jobs are also entitled to rely on the lower salary thresholds; however this is outwith the scope of this article.

In practical terms, what does this mean for Legacy Skilled Workers? 

Extension applications

Legacy Skilled Workers applying to extend their Skilled Worker visa before 4^th April 2030, either with their existing sponsor, or a new sponsor, shall only be required to be paid a salary which meets, or exceeds, the following:

1. £29,000 (lower general salary threshold for Legacy Skilled Worker) as opposed to £38,700 for new Skilled Workers;
2. 100% of the going rate for their eligible occupation code, based on the 25^th percentile Annual Survey of Hours and Earnings (ASHE) data as opposed to the 50^th percentile ASHE data applied to new Skilled Workers; and
3. £11.90 per hour as opposed to £15.88 per hour for new Skilled Workers.

Additionally, Legacy Skilled Workers employed in certain roles and extending their Skilled Worker permission, either with their existing sponsor or a new sponsor, may be entitled to a further discount, only requiring them to be paid 90%, 80% or 70% of the required salary at points 1 and 2, above. Regardless of salary discounts available, all Legacy Skilled Workers must be paid at least £11.90 per hour.

Salary discounts are limited to workers employed in a role requiring a relevant PhD (10% discount on general threshold and going rate); a role requiring a relevant PhD in a STEM subject (20% discount on general threshold and going rate); or where the applicant qualified as a New Entrant and has not yet been granted the maximum period of permission as a New Entrant (20% discount on general threshold and 30% discount on going rate).

Shortage Occupation List

Legacy Skilled Workers sponsored before 4^th April 2024 in a role which was listed on the Home Office’s Shortage Occupation List, may have had their occupation code removed from the list when it was reviewed and replaced with the Immigration Salary List on 4^th April 2024.

In these circumstances, and provided the Legacy Skilled Worker continues their employment with the same sponsor, they are entitled to make use of the lower general salary requirements reserved for jobs remaining on the Immigration Salary List. However, applicants with jobs on the Immigration Salary List no longer receive an entitlement to a discount to the going rate, which was previously available under the Shortage Occupation List. This means for roles on the Immigration Salary List, the salary must meet 100% of the lower salary threshold.

Legacy Skilled Workers whose occupation code has been removed from the Immigration Salary List (or the former Shortage Occupation List), shall meet the salary requirement for their extension applications made before 4^th April 2030 with the same sponsor, in the same job, as their most recent Skilled Worker visa, if they are paid at least, or in excess of:

• £23,200 per year (general threshold);
• 100% of the going rate for their relevant occupation, based on 25^th percentile ASHE data; and
• £11.90 per hour.

The above salary requirements also apply to Legacy Skilled Workers sponsored before 4^th April 2024 in a role on the Shortage Occupation List, and which remains on the Immigration Salary List, provided their extension application (either with their existing sponsor or a new sponsor) is made before 4^th April 2030.

Change of Employment applications

Most Legacy Skilled Workers will be able to rely on the lower salary threshold for their change of employment application with their new sponsor so long as they have held permission as a Skilled Worker continuously, granted on the basis of the rules in force before 4^th April 2024.

Settlement or Indefinite Leave to Remain applications

Legacy Skilled Workers making applications for settlement before 4^th April 2030 shall be required to be paid at least £29,000 per year (or £23,200 per year, if their role is on the Immigration Salary List) and the relevant going rate for their occupation code, based on the 25^th percentile ASHE data.

Legacy Skilled Workers not eligible to apply for settlement until after 4^th April 2030 shall be required to be paid at least £38,700 per year (or £30,960 per year, if their role is on the Immigration Salary List) and the relevant going rate for their occupation code, based on the 50^th percentile ASHE data.

How we can help

If you would like any advice or assistance regarding the Skilled Worker route, then please do not hesitate to contact one of the experienced solicitors in our immigration team.