I spend my days talking to hiring managers and supply chain leaders across the FMCG sector. Recently the topic of sponsorship has been coming up more often within businesses who a few years ago wouldn’t entertain the idea of sponsorship but more recently the tide seems to be turning on this.
More startups, SMEs, and businesses that are scaling are applying for sponsor licenses to open up the talent pool in a market where top talent is becoming more difficult to come by and attract.
This shift reminds me of the market trends we saw before 2016 – prior to Brexit over 50% of the talent we hired before then were EU nationals where we had freedom of movement. Since Brexit, the talent pool in the UK has changed significantly with fewer candidates being able to move to the UK to work without sponsorship creating longer time to fill rates especially in specialised role or where language skills are required.
The return to global hiring
I have noticed that more FMCG companies are now viewing a sponsor license as a necessary tool rather than a last resort. While the process involves paperwork and specific costs, the return on investment is clear for a lot of businesses. By looking beyond the UK borders, my clients can access a much larger group of professionals who bring fresh perspectives to supply chain challenges – of course there is a bit of work up front and lead times can be a little longer than a normal notice period but if access to talent that will make an impact is key, it’s worth the wait in a world where recruitment cycles have become longer and longer.
Below I touch upon a couple of reasons why more businesses are open to sponsoring supply chain talent.
Stronger experience and better education
The quality of candidates available through visa sponsorship is often higher than what is available in the UK. I regularly speak with applicants who have strong education in Logistics/Supply Chain or specialised certifications as well as technical training.
Beyond their qualifications, these candidates often bring a unique set of skills:
- Multilingual abilities: Many candidates I represent speak two or three languages fluently. For an FMCG business dealing with international suppliers or European distributors, this is a practical advantage that improves daily communication.
- Global experience: Professionals who have worked in different regulatory environments often bring better problem-solving skills to a UK team and are mobile around the UK.
- Commitment: Candidates seeking sponsorship usually stay with a business for the term of their sponsorship (typically 3-5 years), which helps reduce staff turnover
Quite often Supply Chain candidates particularly at a junior level have ‘fallen into’ Supply Chain/Operations roles and whilst that is a perfectly acceptable way to start a career, it doesn’t necessarily bring progressive thought and leadership in all situations that may come from candidates who have chosen supply chain or logistics to be their chosen vocation.
Solving the “tricky to fill” roles
We all know that some roles are harder to fill than others – whether it is a niche IBP Implementation role, a Continuous Improvement role with specific lean six sigma experience or an Operations Director for a scaling business with end to end exposure the local candidate pool can at times be quite small with the candidates who have such experience being in high demand/not necessarily open to a move..
I find that offering sponsorship allows my clients to stop compromising. Instead of hiring the “best available” person locally, they can hire the “best person for the job” from a global pool. It removes the geographical barriers that often slow down the hiring process for critical positions.
Understanding the costs and salaries
I often get asked about the financial side of sponsorship. It is important to be specific here. To sponsor a worker under the Skilled Worker route, businesses must now meet higher salary thresholds. For many roles, this means a minimum salary of £38,700, or the specific “going rate” for that job role, whichever is higher.
While this is an increase from previous years, many of my clients find that the cost is justified by the high calibre of the talent they receive. I help hiring managers look at these figures early in the process so they can plan their budgets accurately – for the first time sponsoring, expect costs in excess of 10k but as with everything it gets easier after the first sponsor and the return on investment often outweighs the cost of sponsoring.
A practical solution for growth
The trend is clear: FMCG businesses are becoming more open to sponsorship to drive their growth. It is a practical solution to the talent shortages that have persisted since 2016.
By expanding the search, I can help my clients find the exact skills they need to keep their supply chains moving…… and who doesn’t want that?!
