IMPACT – MEDIUM

What is the change? Russia has begun accepting 2016 quota applications from companies aiming to secure foreign labor.

What does the change mean? If they have not already done so, employers should begin preparing applications to fill foreign-labor allocations for 2016.

  • Implementation time frame:The application period opened April 9. Deadlines are July 1 for 2016 quota applications and Sept. 1 for 2015 “correction” applications.
  • Visas/permits affected:Standard work permits and work visas for visa-country nationals.
  • Who is affected:Companies seeking to hire non-Highly Qualified Specialists and non-CIS nationals for 2016.
  • Impact on processing times:The process may take several months; applications are expected to be approved toward the end of 2015 or the beginning of 2016.
  • Business impact:Companies that do not file on time, or do not file according to new rules, could lose the ability to secure foreign workers for 2016.
  • Next steps:Companies must obtain a login and password for the Migrakvota website and complete an online application form, which they then submit electronically. Paper applications are then submitted on specific dates on which they are accepted.

Background: The application process for standard work permits has changed considerably. The CIS standard work permit process has been abolished; CIS nationals now apply for work patents, which do not require a quota. Quotas are also not required for HQS workers, regardless of nationality. The overall number of workers who will be admitted through the quota system for 2016 will likely be announced later this year.

Additional new rules require businesses to guarantee medical insurance and housing for foreign workers who are given jobs through the quota system. Russian officials have said a company’s guarantee of medical insurance and housing can be made in a single “guarantee letter” submitted with the application.

After companies have submitted applications electronically, they are required to file paper applications. Paper applications were accepted during a two-week period earlier this month and can be filed May 17-22 or June 15-30. Correction applications for the 2015 quota can be submitted July 13-24 and Aug. 10-31.

BAL Analysis: Russian companies aiming to secure foreign labor for 2016 should take note of the application dates and new rules requiring them to guarantee health insurance and housing accommodations.

This alert has been provided by the BAL Global Practice group and our network provider located in Russia. For additional information, please contact your BAL attorney.

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