Navigating October 2025’s Major Immigration Changes: What Employers Need to Know

October 2025 marks a pivotal moment for global mobility and international payroll management. With the European Union’s new Entry/Exit System launching this week and significant policy shifts across multiple jurisdictions, employers managing international teams need to stay ahead of these changes. Here’s what you need to know to keep your global workforce compliant and mobile.

EU Entry/Exit System (EES): The Biggest Change This Week

Starting October 12, 2025, the European Union is launching its new biometric Entry/Exit System (EES) across 29 European countries. This represents the most significant change to EU border management in decades and will directly impact business travel, contractor mobility, and employee assignments.

What Is the EES?

The EES replaces traditional passport stamps with a digital system that records biometric data (fingerprints and facial images) for all non-EU citizens entering the Schengen Area. The system will automatically track entries and exits, making it easier to monitor compliance with the 90-day rule for visa-free travel.

Key Points for Employers:

• Gradual Rollout: The system will be implemented gradually over six months, with full operation expected by April 2026
• First-Time Registration: Travelers will need to register their biometric data on their first entry after October 12
• Expect Delays: Initial border crossing times may increase by 5-10 minutes as systems are tested and staff adjust
• Valid for 3 Years: Once registered, the biometric data remains valid for three years or until passport expiry
• All Entry Points: The system applies to air, sea, and land borders

Impact on Your Business Travel and Assignments

For companies with contractors or employees regularly traveling to Europe, this change requires proactive planning:

• Build extra time into travel schedules, especially for October-November business trips
• Brief traveling staff on the new requirements and what to expect at borders
• Review your 90-day tracking systems—the EES will make overstays immediately visible to authorities
• Consider work permit requirements for longer assignments, as visa-free travel limitations become more strictly enforced.

U.S. Immigration Services: Government Shutdown Impacts

As of October 1, 2025, a U.S. government shutdown has taken effect, creating uncertainty for employers sponsoring foreign workers or processing immigration applications.

What’s Affected:

• USCIS Operations:S. Citizenship and Immigration Services continues operating as a fee-funded agency, but processing times may be impacted
• Consular Services: Some visa interview appointments and passport services may face delays
• Border Operations: Essential border security functions continue, but administrative processing may slow
• Federal Workforce Reductions: The 3.2% reduction in civilian workforce since January 2025 has already created processing backlogs

Employer Action Items:

• Submit time-sensitive visa applications and renewals immediately
• Monitor USCIS announcements for service updates
• Have contingency plans for employees whose visa renewals may be delayed
• Consider premium processing where available to minimize uncertainty

H-1B Visa Cost Increases

In September 2025, the U.S. administration raised fees for H-1B visas, the primary work visa for skilled foreign professionals. This increase affects employers’ budgets for international hiring and talent acquisition.

Planning Considerations:

• Update your immigration budget forecasts for 2026
• Review cost-sharing policies with sponsored employees
• Explore alternative visa categories where appropriate
• Consider Employer of Record (EOR) solutions for international talent who can work remotely

Global Payroll Considerations: Currency and Compliance

These immigration changes have direct payroll implications that often get overlooked:

Tax Residency Tracking

With the EES making travel tracking more precise, tax authorities across Europe will have better data to determine tax residency. Employers must ensure:

• Accurate tracking of days spent in each jurisdiction
• Proper tax withholding based on actual presence
• Social security compliance across multiple countries
• Updated split payroll arrangements when employees cross tax residency thresholds

Contractor vs. Employee Classification

As immigration enforcement tightens, the distinction between contractors and employees becomes more critical. Misclassification can result in:

• Immigration violations if contractors are working on tourist visas
• Tax penalties for unpaid employment taxes
• Social security contribution arrears
• Potential criminal liability in some jurisdictions

How Uniglo Financial Can Help

Navigating these complex, interconnected immigration and payroll requirements doesn’t have to be overwhelming. At Uniglo Financial, we specialize in providing seamless solutions that keep your global workforce compliant and mobile.

Our Services Include:

• Immigration & Work Permits: Expert guidance across 100+ countries, including EU EES compliance and U.S. visa processing
• International Payroll: Compliant payroll management that adapts to changing tax residency and immigration status
• Employer of Record (EOR) Solutions: Hire talent anywhere without establishing local entities
• Tax Planning: Strategic tax optimization that accounts for cross-border mobility
• Contractor Management: Proper classification, compliance, and payment solutions

Take Action Now

With the EU EES launching this week and ongoing changes to U.S. immigration services, now is the time to review your global mobility and payroll compliance. Don’t wait until your employees face border delays or visa processing issues.

Contact Uniglo Financial today to ensure your international workforce remains compliant, mobile, and productive through these changes.

📧 [email protected]
📞 07 3452 8827
🌐 www.uniglofinancial.co.uk

Office Hours: Monday to Friday, 9:00–5:30

About Uniglo Financial Limited

Uniglo Financial Limited provides comprehensive international payroll, EOR solutions, immigration services, tax planning, and contractor management across 100+ countries. Based in London’s Mayfair district, we help recruitment agencies, multinational companies, and contractors navigate the complexities of global mobility with reliable, innovative, and strategic solutions.