BAL White Paper: Duty of Care – What are the overlooked risks of immigration noncompliance?

21 Sep, 2017

Global Trend

Companies assessing the risks of being noncompliant with a country’s immigration rules have traditionally focused on the potential immigration fines and the possible harm to business reputation if caught—oftentimes, low-risk factors for multinational companies operating in countries where the negative impact can be minimal com­pared with the business upside. The potential impact of immigration noncompliance on the affected employee is ordinarily not a factor that is taken into consideration.

However, an emerging trend of lawsuits brought by aggrieved employees against their employers under duty-of-care laws has increased the financial risks to companies that are noncompliant with immigration laws.

Corporate leaders, tempted to circumvent immigration laws, should think through their potential exposure to high-stakes lawsuits and open-ended damages. Some of the most common immigration infractions, such as overstays or misuses of business or tourist visas, can incur much greater financial loss, as well as far more negative publicity, in ways that are not always immediately obvious and sometimes very difficult to anticipate.

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