Why UKVI Compliance Audits Matter

UKVI carries out compliance audits to ensure that businesses comply with the conditions of their sponsor licence  and, over time, continue to observe these duties. Audits are essential in preventing visa abuse, ensuring the assurance of qualified international workers, and ensuring businesses maintain proper employment practices. The UKVI inspections can be pre-licence audits or post-licence audits. Announced and unannounced visits can occur, so employers must always be audit-ready.

If a company fails an audit, the Home Office may suspend or even revoke the licence, which might create problems in the hiring procedure and terminate existing sponsorships. Therefore, compliance needs to be maintained actively, and penalties should be avoided in any form.

Key Compliance Areas Checked During Audit

UKVI auditors look at five key major areas of compliance during their audits:

Right-to-Work Checks:

Right-to-work checks must be done on all employees before employment commences for employers and those sponsored on a Skilled Worker visa. Passports, visas, and other documents will be checked, and a copy will be retained in the personnel file. Failure to keep proper records is the primary cause of sponsor licence suspension.

Record-Keeping and Documentation:

The sponsors will maintain up-to-date records regarding all the sponsored workers. Their files will contain job descriptions, payslips, employment contracts, and even documentation of recruitment processes. All these shall be consistent with those presented in the sponsor licence application and those that feature on the Certificate of Sponsorship provided to every worker.

Monitoring Changes and Reporting:

The Sponsor Management System requires employers to notify employees of changes to employment, such as name changes, title changes, changes in salary, or early termination, within ten working days. If a red flag is flagged during an audit following untimely reporting of such changes, the licence can be suspended.

Tracking Absences and Work Location Changes:

Strong management systems and controls should be required to monitor employees' attendance and absence. The work locations for the sponsored employees should also match the information captured on the CoS. If the employee relocates or begins working at a new remote location, the sponsor is responsible for informing UKVI about this change.

Genuine Job Roles:

UKVI checks whether the actual jobs sponsored workers will fill genuinely meet the thresholds in terms of skill and salary. Businesses should not use CoS in a role that does not meet these criteria, especially since improper use of CoS is an extremely serious offence.

Preparation for a UKVI Compliance Audit

Internal Mock Audits:

UKVI conducts internal audits regularly to pinpoint and address compliance matters prior to the audit. Simulated audits can be carried out within an organisation to mimic what may happen during the inspection, thereby highlighting improvement areas for record-keeping and reporting.

Organise Files and Documentation:

There should be a system to maintain personnel files, whether paper or digital. Retrieving some of those documents when the auditors request them will not be that difficult. For example, having all the information about CoS, including employment contracts and proof of salary, in one place is very easy to access during audits.

Ensure Key Personnel Are Well-Trained:

The persons entrusted with managing the licence must be fully aware of the requirements for compliance. Ongoing professional development ensures they are updated regarding UKVI policies and reporting obligations.

Ensure Consistency Across Systems:

The recorded information on CoS must tally with payroll records and employment contracts; otherwise, an inconsistency may arise when an audit is held. An example that comes to mind is when a CoS states one salary is higher than what one has been paid in payroll records. This would cause sponsor licence suspension.

Prepare for Employee Interviews:

UKVI may interview sponsored employees during audits to confirm that their jobs meet CoS requirements. Before interviews, employers should inform employees about the notice given and provide access to employment documents if required before interview discussions begin.

Learn everything you need to know about Sponsor Licence in this video. 

What to Anticipate During UKVI Audit

Generally, a UKVI audit consists of an interview and a file review. During the interview, the Authorising Officer and key employees should be prepared to answer questions from the compliance officer regarding company HR policies and sponsor management practices, among other issues. Furthermore, the compliance officer is to review up to 50 employee files to determine whether sponsorship duties are compliant. 

The auditors check whether the business continues to meet the commitments presented in the sponsor licence application, including the correct use of CoS and observance of immigration law. Non-compliance in any field can bring down the licence rating to B or suspend the whole licence, thereby banning the business from sponsoring new employees.

The Aftermath of Non-Compliance

The UKVI has serious consequences related to non-compliance. For instance, during an audit, cases may be found that a business or organisation has failed to comply with the rules of the Home Office:

• Suspension of the licence, which means that no new CoS can be issued

• Downgrade the licence to a B-rating and require an action plan to get back the full privilege

• Revoke the licence to cease conducting business.

These consequences must be avoided through constant monitoring and proactive compliance efforts. The business can, therefore, reduce the risks involved by regularly reviewing internal procedures and updating knowledge with the latest changes in immigration laws.

Get Legal Assistance

UKVI compliance audit needs due care and caution. Businesses should look ahead, from routinely carrying out mock audits to ensuring well-trained key personnel, whereby organisations should keep vigil for their sponsor licence to remain intact. UKVI requirements ensure that employers can attract international talent continuously without any hitch. If you want support in applying for a sponsor licence or some kind of compliance problem, do not hesitate to contact A Y & J Solicitors. Our organisation guides you to make your business compliant without penalties such as sponsor licence suspension.

A Y & J Solicitors is a specialist immigration law firm with extensive experience with a sponsor licence application. We have an in-depth understanding of immigration law and are professional and results-focused. For assistance with your visa application or any other UK immigration law concerns, please contact us at +44 20 7404 7933. We’re here to help!