Why Brexit means everything–and nothing–for employment outsourcing

March 18, 2019

Even in normal times, the hiring and managing of a fluid European workforce presents numerous challenges for the HR professional, including languages, local laws, taxes and benefits.

With Brexit and the ambiguity surrounding it, HR can expect a proliferation of new regulations—and the creation of entirely new sets of unknowns.

For employers: an exit into the unknown

When radical changes are effected with regards to an entity as large and complex as the EU, the unknowns in relation to business growth and challenges for HR professionals will be substantial.

For example, the UK government anticipates Brexit will result in job protection. What does this mean? Skilled? Non-skilled? What about jobs traditionally hard to fill from within one’s own country? How jobs are protected will have an enormous impact on hiring practices for companies within, and outside of, the UK.

What about the supply of highly skilled talent? As competition increases in a tighter market for these workers, HR can expect recruiting to be more difficult, more expensive.

A new age of uncertainty for employees

The impacts of Brexit on employees are important and far-ranging. Work visas will be more difficult for employees to attain. Current residents will have to prove the ability to stay and work in the U.K., while movement of the family members of these workers will be restricted. Will U.K. employees seeking employment in EU countries be rejected?

The function of HR: A constant in a sea of change

Fortunately, there is a constant in the challenges outlined above: HR. Brexit or not, employees still need to be recruited, hired, trained and paid. No matter how it plays out, there are ways for your company to remain flexible, responsive, compliant and therefore more successful than your competition.

Post-Brexit success begins with managing complexity

Post-Brexit changes will be big and they will be messy. And while no HR professional can be completely prepared for these complexities, adhering to a few tips is a good place to start:

Tip #1: Embrace change

  • Brexit and the HR challenges it brings will happen. New laws will be instituted. New ways of doing business amongst EU and UK countries will be created. The earlier HR professionals accept this, the quicker they can focus on how to best take advantage.

Tip #2: Stand behind the changes

  • Economies are a powerful, ever-evolving force. Brexit is simply the latest market move. Understanding this iteration, and creating functions within your company to exploit it will be key to growth.

Tip #3: Build in redundancy

  • You may assume you and the HR strategies you developed pre-Brexit will also serve you well in this new era. But in times of great change, building redundancy through partners and experts best equipped to help deal with change will help you react efficiently and compliantly.

With GEO, Brexit is opportunity

As Brexit unfolds, few really know what its immediate implications are for workforce deployment, and how best to comply with the changes in laws that will occur.

Safeguard Global is tailor made for the post-Brexit labor market. As your local employer of record, we monitor and decipher complex labor law changes that will occur, ensuring your compliance with them for continued success in these highly uncertain times.

To learn more about how Global Employment Outsourcing (GEO) from Safeguard Global can help your organization be prepared for Brexit, contact us today.


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