As reported in our September WortHReading, if you want to employ workers from outside the Economic European Area or Switzerland ("migrants") after 27 November don't forget that the new points-based immigration system will be up and running and you will need to become a licensed sponsor to do so.

An employer without a sponsorship licence, but which employs migrants, will be acting illegally.

Employing an illegal worker is punishable as a civil offence and employers may be ordered to pay a penalty of up to £10,000 per illegal worker. Knowingly employing a migrant worker is a criminal offence punishable by an unlimited fine and/or up to two years in prison. It is therefore crucial that businesses and other organisations are fully up-to-speed with the new system.

The new system is being hailed as immigration's biggest shake-up for 45 years. Two tiers of the new Australian-style points-based system come into force on 27 November: Tier 2 covers skilled migrants with job offers who come to the UK to fill a gap in the labour market, and will replace the existing work permit scheme.

Tier 5 replaces various schemes, such as the working holiday visa, and will apply to all those travelling temporarily to the UK primarily for non-economic reasons.

Migrant workers applying under any tier (except Tier 1) will need to be sponsored in order for their application to be successful.

Companies acquiring migrant workers following a merger or under Transfer of Undertakings (Protection of Employment) Regulations (TUPE) will have to apply for a sponsorship licence within 28 days.

A sponsorship licence is renewable every four years and there are various on-going notification obligations with which licence holders have to comply.