Hospitality Sector

Hospitality sector

Immigration support for an industry built on people.

Hospitality is an industry heavily dependant on people. Staff shortages, high employee turnover, immigration restrictions and workplace disputes can quickly affect service standards, customer experience, revenue and reputation.

Templeton provides strategic business immigration and employment law advice to hotels, restaurants, pubs, bars, cafés, catering companies, event venues, private members’ clubs, leisure businesses, franchisees, food-service contractors and international hospitality groups.

We help hospitality employers understand which roles can lawfully be sponsored, recruit workers who already have permission to work in the UK, meet their sponsor and right-to-work responsibilities and manage complex employment issues.

hospitality sector

Legal support for a fast-moving and people-focused sector

Hospitality employers often operate across long opening hours, fluctuating customer demand and seasonal peaks. Their workforce may include permanent employees, part-time staff, casual workers, agency workers, students and individuals with different forms of immigration permission.

The immigration options available to hospitality businesses have become significantly more restricted. Since 22 July 2025, medium-skilled roles can generally only be sponsored where they appear on the Immigration Salary List or Temporary Shortage List, or where transitional provisions apply. Core hospitality occupations such as chefs, restaurant managers and hotel managers are therefore no longer generally available for new overseas recruitment under the Skilled Worker route. Some genuinely higher-skilled corporate or specialist positions may remain eligible, but the actual duties, occupation code and salary must satisfy the Immigration Rules.

Employment law compliance is equally important. Hospitality employers must manage minimum wage requirements, tips and service charges, staff accommodation, holiday pay, irregular working hours, night work, shift changes, sickness absence, disciplinary matters and complaints of discrimination or harassment.

Right-to-work procedures are particularly important in a sector that employs international workers and students. A check must establish not only that the individual can work in the UK, but also that they are permitted to undertake the particular work and hours being offered.

We work with business owners, hotel groups, restaurant operators, franchisees, HR teams and managers to provide clear, commercially focused advice that supports both workforce stability and legal compliance.

Factsheet

More than 2.6 million workforce jobs

The accommodation and food service activities sector accounted for approximately 2.614 million workforce jobs in the first quarter of 2026. This demonstrates the scale of the sector and the importance of effective recruitment, workforce management and employment compliance.

Approximately 71,000 vacancies

The accommodation and food service activities sector recorded approximately 71,000 vacancies in the second quarter of 2026. Although vacancy levels have fallen from their post-pandemic peak, employers continue to face significant recruitment and retention pressures.

Core hospitality roles face significant sponsorship restrictions

Hotel and accommodation managers, restaurant and catering managers, publicans, chefs and catering and bar managers are classified as medium-skilled occupations under the current Skilled Worker rules. They are generally only available for sponsorship where the worker benefited from the transitional arrangements for people who entered the Skilled Worker route before 22 July 2025, unless a specific Immigration Salary List or Temporary Shortage List exception applies. These core hospitality occupation codes do not currently appear on either list.

Some higher-skilled roles can still be sponsored

Hospitality companies may still sponsor individuals for genuinely eligible higher-skilled corporate, technical or specialist positions. The employer must hold a sponsor licence, the duties must properly correspond with the selected occupation code and the salary must usually be at least the higher of £41,700 per year or the relevant occupation’s going rate. A senior-sounding job title is not sufficient where the actual duties do not match the occupation code.

Frontline hospitality roles are not eligible for Skilled Worker sponsorship

Kitchen and catering assistants, waiters and waitresses, bar staff, bartenders, baristas, hotel assistants, night porters and similar frontline positions are listed as ineligible occupations. These roles cannot ordinarily be filled through the Skilled Worker route.

The Seasonal Worker visa does not cover hospitality work

Despite its name, the Seasonal Worker visa is not a general route for hotels, restaurants, bars or event businesses seeking additional staff during busy periods. It is limited to specified work in the horticulture and poultry-production sectors.

The National Living Wage is £12.71 per hour

From 1 April 2026, the National Living Wage for workers aged 21 and over is £12.71 per hour. The rate for workers aged 18 to 20 is £10.85, while the under-18 and applicable apprentice rates are £8.00. Hospitality employers must also consider deductions, unpaid working time, mandatory training, uniform costs and other arrangements that may reduce pay for minimum-wage purposes.

Managing a flexible, international and highly regulated workforce

Hospitality employers must consider immigration status at every stage of employment. A right-to-work check should be completed before employment begins and repeated where the individual has time-limited permission. The employer must also confirm that the person is permitted to undertake the proposed role, hours and type of work.

This is particularly important when employing students or individuals undertaking supplementary work alongside a sponsored position. A person may have permission to work in the UK but still breach their immigration conditions by exceeding their permitted hours or undertaking prohibited work. An employer that becomes aware of a breach and continues the employment may lose its statutory excuse against a civil penalty.

Where a hospitality business holds a sponsor licence, it must maintain appropriate records, monitor sponsored employees and report specified changes. A failure to comply can lead to the licence being downgraded, suspended or revoked, placing the business’s sponsored workforce at risk.

The employment status of casual, part-time and agency staff must also be considered carefully. Almost all workers, including irregular-hours and part-year workers, are legally entitled to paid annual leave. Rolled-up holiday pay may be used for qualifying irregular-hours and part-year workers, but the correct calculation and payroll arrangements must be followed.

Hospitality businesses using zero-hours or low-hours contracts should also prepare for employment law changes. The Employment Rights Act 2025 contains reforms concerning guaranteed hours, reasonable notice of shifts and payments where shifts are cancelled, moved or shortened. Implementation is being phased and further details remain subject to consultation.

Hotels and other employers providing staff accommodation must ensure that rent, utilities and related deductions do not result in minimum-wage underpayment. Restaurants, bars and hotels receiving tips or service charges should also ensure that their tipping policy, allocation system, tronc arrangements and employment documentation comply with the statutory requirements.

Changes to ownership, outsourcing arrangements, catering contracts, franchises or management structures may create additional employment and immigration consequences. These can include TUPE obligations, redundancy consultation, changes to sponsor-licence ownership and reporting duties affecting sponsored workers.

Early legal advice can help a hospitality business identify risk before it results in a Home Office investigation, HMRC enforcement action, an Employment Tribunal claim or disruption to its operations.

hospitality sector

How We Can Help

Sponsor licence applications

We advise hospitality businesses on whether a sponsor licence would provide a practical route for their proposed recruitment. Where eligible roles are available, we prepare and manage the sponsor licence application, supporting evidence and compliance arrangements.

Skilled Worker eligibility assessments

We assess whether a proposed position is genuinely eligible for sponsorship. This includes reviewing the job description, occupation code, skill level, salary, working hours and whether any transitional provision applies.

We provide clear advice where a position cannot lawfully be sponsored, helping employers avoid inappropriate Certificates of Sponsorship, visa refusals and potential action against their sponsor licence.

Existing sponsored hospitality workers

We advise hospitality employers and existing Skilled Workers affected by the transitional rules introduced on 22 July 2025. This can include extensions, changes of employer, changes in role, salary or working hours and applications involving existing sponsored chefs or hospitality managers.

Alternative immigration and workforce planning

Where Skilled Worker sponsorship is unavailable, we advise businesses on recruiting individuals who already hold suitable permission to work in the UK. This may include Graduate visa holders, Youth Mobility Scheme visa holders, partners or dependants, individuals with status under the EU Settlement Scheme and people with indefinite leave to remain.

Sponsor licence compliance

We conduct sponsor compliance audits and mock Home Office visits. We review personnel files, recruitment records, salary information, attendance systems, reporting procedures and use of the Sponsor Management System.

Sponsor licence suspensions and revocations

Where a hospitality business receives a sponsor licence suspension or other enforcement notice, we provide urgent strategic advice and prepare detailed representations addressing the Home Office’s concerns.

Right-to-work compliance

We advise on manual, online, digital and Employer Checking Service right-to-work checks. We can review existing procedures, provide staff training and help employers establish a consistent and non-discriminatory checking system.

Student and supplementary worker compliance

We advise employers on term-time restrictions, vacation working, retention of academic term dates and supplementary employment undertaken by people who are already sponsored elsewhere.

Illegal-working civil penalties

We assist hospitality businesses responding to allegations of illegal working, information requests and civil penalty notices. We advise on the statutory excuse, objections, appeals and any connected sponsor-licence or premises-licensing implications.

Employment contracts and staff handbooks

We prepare and review employment contracts, casual-worker agreements, zero-hours arrangements, staff handbooks and workplace policies tailored to hospitality businesses.

National Minimum Wage compliance

We advise on hourly pay, salaried-hours arrangements, unpaid working time, training, trial shifts, uniforms, deductions, clocking-in procedures and other issues that may affect minimum-wage calculations.

Working time and shift arrangements

We help employers manage rest breaks, maximum working hours, night work, opt-out agreements, shift changes and the developing legal requirements affecting zero-hours and low-hours contracts.

Disciplinary, capability and grievance matters

We advise employers on misconduct, poor performance, absence, customer complaints, cash-handling concerns, food-safety breaches, alcohol-related incidents and workplace grievances.

Discrimination and harassment

We assist with allegations involving race, nationality, sex, disability, religion, age, sexual harassment and other protected characteristics. We also help businesses introduce effective equality and anti-harassment policies.

Sickness absence and reasonable adjustments

We advise on short-term and long-term sickness absence, medical evidence, occupational health referrals, disability-related issues and reasonable adjustments.

Restructuring, redundancy and TUPE

We support hospitality businesses dealing with venue closures, reduced trading, changes to management contracts, outsourcing, insourcing, franchise changes and business sales. We advise on consultation requirements, TUPE and the effect of changes on sponsored employees.

Employment Tribunal representation

We represent hospitality employers and professionals in Employment Tribunal claims involving unfair dismissal, discrimination, whistleblowing, wages, holiday pay, working time and contractual disputes.

Ongoing immigration and employment support

We provide retained legal support for hospitality businesses requiring regular advice. This can include right-to-work queries, sponsor management, contract reviews, staff training, disciplinary matters and support with individual immigration applications.

Strategic legal advice for hospitality businesses

Whether you are operating a single restaurant, expanding a hotel group, recruiting a specialist employee or managing a complex workforce issue, Templeton provides clear and commercially focused legal advice.

We help hospitality businesses protect their sponsor licences, maintain a lawful workforce, resolve employment problems and continue operating with confidence.

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