UK companies are increasingly eyeing international expansion, highlighting the need for compliance with global hiring practices.
- Research by Santander indicates a significant rise, with 28% of UK firms planning to expand internationally soon, marking a two-year peak.
- Sterling warns that replicating UK employment protocols abroad without adaptation could expose businesses to risks due to varying national laws.
- A key challenge is understanding the legality of processes like criminal record checks in different countries, as requirements vary significantly.
- Collaboration with vendors offering global expertise is recommended to navigate these complexities and redesign compliance practices effectively.
UK businesses are showing a growing interest in international expansion, with a recent Santander report revealing that 28% of companies are considering this move within the next two years. This marks the highest level recorded in the survey’s history, signalling a shift towards global market engagement.
However, employment screening expert Sterling has raised concerns about the risks involved in such expansions, particularly when it comes to compliance with international hiring practices. The company warns that simply extending UK processes to other countries can lead to significant legal risks because of the nuanced differences in national regulations.
In countries like Spain, for example, the processing of criminal record checks is subjected to stringent requirements. Employers must demonstrate a legal necessity, beyond mere legitimate interest, to conduct such screenings. This illustrates the complexities involved in transferring and handling personal data across borders.
Steve Smith, President, International at Sterling, emphasises the importance of understanding and adapting to these legal frameworks: ‘International markets are clearly rife for businesses at the moment, however, moving across borders and employing people in other countries is a complex process. Business leaders need to be mindful that just because they have a screening process in the UK that helps to enable compliance, doesn’t mean that it can be replicated in other countries. In fact, doing so could expose a company to significant risks.’
Employers are advised to consider partnerships with vendors who possess global reach and local knowledge. These partnerships provide access to expertise in regional markets and dedicated compliance teams that can assist in navigating international regulatory requirements. Such collaborations promise enhanced efficiency, objective reporting, and tailored solutions to meet global compliance challenges.
UK companies must proactively adapt their hiring processes to ensure compliance with international laws and avoid potential risks.