The Importance of A PEST Analysis and your Business operations

Updated: Apr 16, 2019


Brexit and EU what does it mean for your business

It is important to note that your target market level of needs, desire, may not stay the same, and more importantly in time of political, economic, social and technological change this is more prevalent has Brexit is approaching fast and the possibility of no deal or a deal is still on the table and cannot be ignored therefore, it is time to look at your PESTEL, SWOT analysis and review what it could mean for your business and future business dealing.


For those of you who are not familiar with a PEST and do know what is a PEST analysis and its importance at this present time to move your business into future dealing with the EU and Brexit we at Girlfridayz will explain it usefulness and importance at this present time and how it can support you move swiftly without damaging your business and its operations.


What is a PEST Analysis



A PEST analysis is a framework of macro-environmental factors used in the environmental scanning component of strategic management. It looks at define factors and focus on these factors to move your business forward. Therefore, the importance of a PEST analysis in strategic management is paramount in this present time with Brexit looming and no decision as yet one have to be strategically prepared.


The factors look at are the Political factor, The Economical factor, The Social Factor and the Technological factor which are the components of a PEST analysis and it enable you to focus on the area of your business which needs to be look at and adjusted to the current climate to ensure business success, retention, sustainability and profitability during uncertain times.



Girlfridayz in order to explain the usefulness and importance of a PEST as decided to do a PEST analysis on the current event for you to ascertain how useful it is for your business and enable you to see clearly where you can develop strategic management practices to be apply to your business as the whole and predominantly with your staff and their eligibility to carry on working for you in the future. The PEST analysis belows demonstrate that the current political climate with Brexit and the EU as affected the operational processes of your business right now and what to do to address this upset.


The Political Factor


Given the importance of this issue we should all be prepared to work together to find a way forward. The current political climate is concern about a possible no deal Brexit and to avoid the latter is for the House of Parliament to approve a deal with the European Union and the government focus continues to be in favour of a Brexit deal with the European Union.


The government identified key changes are needed and primarily to be more flexible, open and inclusive in the future in how they approach negotiating their future partnership with the European Union.


The Economical Factor



The government is committed to ensure that EU citizens in the UK will be able to stay and continue to access in-country benefits and services on broadly the same terms as now in both deal or no deal scenario and the EU Settlement Scheme test phase launch on the 21st January 2019.


Some EU member states have similar guaranteed the right of British nationals in a no deal scenario and the government will increase their effort in ensuring that they all do so. They will embed the strongest possible protection on worker's right and the environment. In doing honouring the mandate of the British people and leave the EU in way that benefits every part of the UK, its citizens and country.


The Social Factor


The government believe that there has not yet been enough recognition of the way that a second referendum could damage social cohesion by undermining their faith in democracy. Strong concern have been raised that the UK exit from the EU should not lead to a reduction in their social and environmental standards in particular worker's right.


The Technological Factor


The government EU Settlement Scheme application uses the Government website where you can make an application using any device, for example, a laptop, Android device or iPhone.


However, the government offering a location ID document scanning for people who do not possess an Android phone. The purpose of this exercise is to confirm the identity of people applying to the scheme and enable them to make an application to the EU Settlement Scheme test phase.


How your business should prepare


On January 21st Theresa May announced that there will be no fee when the scheme open fully on the 30th March 2019 and anyone who have applied already and paid a fee during the test phase will have their fee refunded.


The way to prepare for imminent changes is to undertake an audit of your staff to identify who will be affected and once identified to make them aware of the EU Settlement Scheme Test Phase and their eligibility to apply now if they have a permanent residency status to get a settled status.


As the process of applying to the EU Settlement Scheme is different if your staff have a permanent residence or indefinite leave to remain document.


Encourage your staff to explore the option open to them for instance if they are eligible for permanent residency you should encourage them to apply for that now and once they are awarded the permanent residency status encourage them to apply to the EU Settlement Scheme to get the status of Settled.


It is important to encourage your staff to understand the meaning of their document as if their document state (registration certificate) their document is not a permanent residence document.


If your staff have a valid UK permanent residence document they should have one of the following:

  • A certificate inside their blue residence documentation booklet or pink if they are Swiss national.

  • A certificate inside their passport

  • Or a biometric residence card confirming permanent residence only if they are from outside the EU.

If your staff are from the EU, EEA or Switzerland their permanent residence document will state Permanent Residence. Otherwise if they from outside the EU, EEA or Switzerland their passport will state Permanent Residence Status.


Your staff with permanent residence status can change their Permanent Residence Document to Settled status by applying to the EU Settlement Scheme and they will not have to pay or prove they have 5 years' continuous residence.


If your staff have an Indefinite Leave to Remain in or enter the UK they can continue to leave in the UK without having to apply to the EU Settlement Scheme. However, if your staff decide to apply for the EU Settlement Scheme and they have the latter and meet all other conditions they will get an indefinite leave to remain under the EU Settlement Scheme also known as the settled status.


This mean that your staff who change their indefinite leave to remain for an indefinite leave to remain under the EU Settlement Scheme will be able to spend up to 5 years in a row outside the UK without losing their Settled status instead of the 2 years they have with their current indefinite leave to remain or enter and they will not have to pay or prove they have 5 years' continuous residence.


Having staff under 21 years old


If your staff is under 21 yrs old they will be able to apply for settled or Pre-Settled status if they are an EU citizen or their parent, spouse, or civil partner is an EU citizen and they can apply based on the status their parent is eligible for and how long they live in the UK.


If your staff decide to apply based on the status of their parent is eligible for they will need to prove their relationship to their parent when applying to the EU Settlement Scheme but you may not have to provide proof of residence with your application, However, the Home Office may decide to ask you to provide proof of residence before they make a decision on your application and if their application is successful they will get the same status as their parent.


If your staff decide to apply based on how long they've lived in the UK they will need to provide proof they have 5 years' continuous residence in the UK to be eligible for Settled status. If your staff have not lived for a continuous period of 5 years they may be eligible for Pre-Settled status and their application will be treated separately from any family member,


If your staff have Irish citizen parent, their parent do not have to apply for Settled status. However, if your staff is not a British or Irish citizen you'll be eligible for either the same status your parent could get based on how long they've lived in the UK or Settled status if your staff lived here for more than 5 years.


When your staff or yourself can apply


The EU settlement scheme is now open fully since the 30th March 2019 and the deadline for applying to the EU Settlement Scheme will be 30th June 2021 or 31st December 2020 if the UK leave without a deal.


You or your staff can apply now if you are eligible, but you will probably get Pre-Settled status rather than Settled status if you or your staff do not currently have 5 years' continuous residence in the UK.


You can apply to the EU Settlement scheme right now if you meet the criteria:

  • You are from the European Union (EU)

  • A family member of someone from the EU and you have a residence card with a biometric chip and a EU right to reside on the back

You can apply to the EU Settlement right now:


If you do not have a residence card with a biometric chip and EU right to reside on the back but you have a letter from a government official body stating permanent residence or you do not have any document stating permanent residence but you have lived here for more than 5 years' continuous or born here and you are from an EU country you can apply to the EU Settlement scheme right now.

What will happened the Home Office will check if you meet the 5 years' continuous residence and you can apply using any device, for example, a laptop, Android device or iPhone.


More information can be found on the government website about the meaning of 5 years' continuous residence and more conditions and at Girlfridayz we recommend that you read about it to be informed and aware of what to do in case you fall in the categories and what meet your individual circumstances.


Conclusion


If you are self-employed or an SME's or a large business you need to ensure that you, or your business is compliant with the immigration rules and re-assured your staff that they continue to make a valuable contribution to your business and your business goals in line with your vision.


There is definitely no clear cut decision about Brexit and the EU and a possibility of a deal or no deal is yet to be decided, however, provision has been put in place for EU, EEA and Switzerland citizen who want to remain working and living in the UK due to their permanent residence status, indefinite leave to remain or entry or want to stay, work and live in the UK if they have less than 5 years' continuous residence.


therefore there is no need to worry unnecessarily over the uncertainty of a deal or no deal but what you need to is to act now and sort out your immigration status who will definitely change and a window of opportunity to do this has been opened on the 21st January 2019 in the form of the EU Settlement scheme Test Phase has ended on the 30th March 2019 and the EU Settlement Scheme is fully opened as of the 30th March 2019.


It has not been explicit what will happen to those who miss the deadline for application (31st of December 2020 if no deal or 31st June 2021 if there is a deal) but it is assume that failure to apply will render the individual without a legal right to work or reside in the UK. It could have a negative effect on their ability to rent a property or access public services. For the employer it could become a criminal offence to employ them and that catastrophic for both the EU, EEA and Swiss worker and your business.


I hope you find this article useful and informative and if you are an employer or business owner or you do not have a business by reading Girlfridayz article you can act on the information provided and start sorting out your immigration status or encouraging your staff to do so will give you piece of mind and an assurance that you can continue your business free of immigration restriction, fine or criminal proceeding.


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