Category Archives: resident labour market test

Key Requirements of the Resident Labour Market Test

Companies that employ immigrant workers need to be aware of the resident labour market test.  Before bringing in a worker from a foreign country on a Tier 2 visa it is important to complete this test unless the job you are recruiting for is on the list of shortage occupations.  You will need to show that there is no suitable settled worker in the UK that can do the required job.  All vacancies must be advertised to settled workers for 28 calendar days by either:

a) advertising the vacancy for a single continuous period with a minimum closing date of 28 calendar days from the date the advert first appeared or,

b) advertise the vacancy in two stages where each stage lasts no less than seven calendar days and both stages add up to 28 calendar days.

The job must be advertised in the UK so make settled workers aware of the vacancy and this must be in accordance with a code of practice specific to the sector and job.  If there is no code of practice for then the job must be advertised using Jobcentre Plus.

If the salary for the job is £40,000 or under then it must be advertised for a minimum period of two weeks.  If the salary for the job is over £40,000 then it must be advertised for a minimum period of one week.  The job must be advertised at an appropriate market rate of pay (see the relevant codes of practice).

The advert must include:

  • the job title
  • the job description
  • location
  • salary package
  • skills and qualifications
  • closing date for applications

If, after following the above procedure, no suitable applicant can be found then the job may be offered to a suitably qualified national of a country outside the European Economic Area and Switzerland, provided that the employer has obtained a  Sponsorship Licence.  A Certificat of Sponsorhsip must be issued within six months of placing the advert. This is to make sure that the results of the advertising reflect the current availability of the skills needed. The only exception is where an organisation recruits a migrant using a milkround, when a Certificate of Sponsorship must be assigned within 12 months of the milkround.

The Certificate of Sponsorship should specify the annual equivalent salary for the job if the migrant will be working in the United Kingdom for less than 12 months. For example, earnings of £10,000 on a six month contract would mean an annual salary of £20,000.

The methods that can be used to advertise a job are set out in the relevant codes of practice.The following is a list of methods that might be used:

  1. National newspaper or professional journal
  2. Annual recruitment programme
  3. Recruitment Agency
  4. Internet
  5. Head-hunter

On the sponsor management system under Tier 2 (general) you must confirm that you have completed a resident labour market test being unable to fill the post with a settled worker or the test is not required for the job.