The Immigration cap introduced after June’s budget has created a number of problems for recruitment agencies. A recent survey carried out by de Poel stated that a third of the employment agencies have seen a seen a 25% drop in overseas staff.
The new rules which if effective will become permanent in April 2011, limit the number of overseas staff allowed to work in the UK. The affects of this has meant that there is a skills gap being produced. Already some City firms have complained that much of their business is done on a global scale and so hiring overseas staff is extremely important to keep there network running smoothly. Even scientist have moaned about these changes, Hinxtion Laboratory, based in Cambridge employs a number of overseas staff to ensure that there research is of the highest level, a recent statement from them claimed that these changes in immigration will have huge ramifications on their research and only a handful of top scientist will be allowed to stay in the UK.
These changes will also affect other areas such as Care and Manufacturing. From my point of view I do understand why these limits have been put into place, we are going through one of our largest unemployment rates in this country and so we should be recruiting from within. However there is a fine line that we cannot have businesses unable to operate to their expectations in this country as we will be dependant on the private sector to get us out of the recession and upsetting them too much might force them to operate elsewhere.
It has been suggested in some quarters that the migration system should have limits but not at the expense of economic recovery, a system that compliments this would be ideal.


