Brexit Bill Becomes Law, with Brexit Day Set for January 31, 2020
The United Kingdom’s Parliament has approved the Brexit Bill, with the UK now set to leave the European Union (EU) on January 31, 2020. The bill received assent from Queen Elizabeth II, and then was signed by the President of the EU’s Executive Commission on January 24. The EU Parliament is set to ratify the Withdrawal Agreement on Wednesday January 29. The UK will end its 47-year membership in the EU at 11PM on Friday, January 31.
What are the Terms of the Brexit Bill?
The UK agreed to several terms of Prime Minister Boris Johnson’s deal with the EU, including:
- Guarantees of rights for EU citizens residing in the UK
- Creation of a customs border in the Irish Sea
- The UK remaining subject to EU rules during a transition period lasting to December 31, 2020
- Payment of £30 billion to the EU to settle liabilities
- Loss of representation on EU’s decision-making organizations
What Does This Mean?
After several years of uncertainty, the Brexit Bill has become law. As a result, this will allow the UK to move forward with solid plans for future growth. Companies, organizations, and governments will have clear directives on how to proceed.
The departure date of January 31, 2020 marks the start of the UK’s exit from the EU. The Brexit Bill does not include any provisions with regard to trade, security, and many other issues that will remain for the future relationship of the UK and the EU. Negotiations are anticipated to begin following Brexit Day, with a target of December 31, 2020 for final resolutions.
What should Employers do About the Brexit Bill?
Employers in the UK and the EU should review their preparations for various Brexit scenarios that may arise in the negotiation phase. The Brexit Bill does not include provisions that directly apply to relocation and transferees. Issues covering these and other points may be part of the subsequent negotiations between the UK and the EU during 2020.
Employers should also examine internal processes and controls. They should ensure proper functionality within various legal and regulatory environments that may arise as part of the leave negotiations.
The GMS team of global experts provides analysis and guidance on several relocation industry topics in our White Paper: 2019 Industry Update. With respect to the Brexit Bill, companies should identify employees and their family members in the UK and the EU who might face issues related to their:
- Work Permits
- Work Authorizations
- Legal Status Documentation
- Travel Documents
- Living Arrangements
- Health Insurance Requirements
The UK has published several valuable resources with Brexit guidance for business. The guidance covers a wide range of topics, from “Drive in the EU after Brexit: lorry and goods vehicle drivers” to “Get your business ready to import from the EU to the UK after Brexit.” Companies should be sure to review the UK’s guidance to ensure they prepare accordingly, especially if they will be relocating workers in the UK or the EU.
GMS’ team of global relocation experts has helped thousands of our clients manage their need to relocate workers. Our team can help your company understand how various Brexit scenarios may impact your company. There may be specific requirements for relocating UK and EU workers. Employers should be aware of timelines and requirements negotiated following the Brexit Bill’s successful passing.
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Learn best practices from Global Mobility Solutions, the relocation industry and technology experts. Contact our experts online to determine how the Brexit Bill and subsequent negotiations may impact your relocation program, or give us a call at 800.617.1904 or 480.922.0700 today.