Calls for clarification on EU worker rights comes as survey warns of recruitment crunch

The manufacturers’ organisation, EEF, has called for urgent clarity on the reciprocal rights for EU workers from the government as its recent survey warns of a recruitment crunch if access to skills from the EU is denied to UK businesses.

EEF’s survey, ‘Making migration work for manufacturers: Accessing skills in a post-Brexit world’, which backs up the official data on migration released last week, found a quarter of manufacturers have witnessed a decrease in applications from EU nationals and 16% have seen an increase in the number of EU workers leaving their business since the referendum.

The organisation warns that should there be restrictions to migration post-Brexit — application of a cap for companies employing EU staff — then the skills shortage will worsen. Three quarters of manufacturers were found to already be struggling to fill roles and currently EU nationals make up 11% of the UK manufacturing workforce.

“Preventing industry from being able to recruit the best skilled workers from the EU could stifle growth, damage British industry and the UK economy as a whole,” explained Tim Thomas, EEF director of Employment and Skills. “As a priority the government should clarify the reciprocal rights of EU nationals in the UK and British nationals currently working in other EU member states. At the same time, ministers must map out a new model for immigration to come into force when the UK leaves the EU, including a phased implementation over a sustained period.

“Skills shortages are endemic in manufacturing and engineering, and any points based-type system would choke off the skills needed by this sector. A highly-skilled STEM route should be introduced to enable non-EU STEM professionals to seek work in the UK without a job offer within a reasonable timeframe.”

EEF made the following recommendations in the report:

1. As a priority, the government should clarify the reciprocal rights of EU nationals in the UK and UK nationals in other EU member states.
2. Within the same period, government should map out a new model for migration, for the point when the UK leaves the EU, which includes a phased implementation over a sustained period.
3. Manufacturers need access to appropriate workers, therefore, skilled European workers should be able to come to the UK to work for up to 5 years, followed by the ability to apply for permanent residency.
4. European nationals coming to study in the UK should continue to be able to do so with the opportunity to seek employment in the UK upon completion of their studies within a reasonable time permanent.
5. Reduce the cost to business of recruiting from outside the EU by abolishing the immigration skills charge and reversing the recent decision to remove the short-term intra-company transfer route.
6. To ensure the UK is an attractive place to study, the government should reinstate the Tier 1 post-study work route to enable non-EU students to stay in the UK 2 years after graduating to seek skilled employment.