Occupation Permit-Related Improvements Forthcoming

June 15, 2021

insight-news-default

Country / Territory

At a Glance

  • Mauritius’ Minister of Finance has published proposals that if adopted, would improve conditions associated with the Occupation Permit, including granting longer validity, allowing foreign nationals to change jobs without a new Occupation Permit application, and eliminating the maximum age for dependents, to name a few benefits.
  • The proposals will come into operation once they have been passed by the Parliament.

The situation

The Minister of Finance in Mauritius has released a budget proposal for 2021/22 financial year aimed at attracting and retaining skilled foreign nationals and increasing investment in the country. If adopted, the proposals would impact several conditions of the Occupation Permit.

 

CHANGE IMPACT
  • Validity. The proposal would extend the validity of the Occupation Permit from three to 10 years. This would benefit foreign professionals, investors, self-employed persons and retired non-citizens, who are the groups of foreign nationals eligible for this permit.
 This will allow foreign nationals to remain in Mauritius longer, benefiting both employees seeking longer-term positions and employers seeking to transfer foreign workers’ skills to locals, as part of the skills transfer plan in Mauritius’ immigration system.
  • Change of jobs. Holders of the Occupation Permit would be able to change jobs without having to submit a new application if they meet minimum criteria. Currently, they must submit a new application, adding administrative burdens and expenses. 
 This will save time and costs associated with submitting a new immigration application for foreign nationals seeking to change employers.
  • Change of permit type. The proposal would allow foreign nationals to switch from another permit to an Occupation Permit, whereas this is currently not allowed. 
 This will streamline the permit switching process for those who seek to change their immigration or work authorization status in Mauritius, saving time and costs associated with leaving and re-entering under a new permit type.
  • Occupation Permit (self-employed).  Holders of the Occupation Permit for self-employed individuals would be allowed to employ staff under the proposed rules.
 Foreign nationals under the Occupation Permit (self-employed route) would be able to employ local and foreign workers and contribute to the growth of the Mauritian economy.
  • Young Professionals Occupation Permit. One proposal suggests the creation of a Young Professionals Occupation Permit, for eligible foreign students to work for up to 10 years in Mauritius after they complete their studies at a university in Mauritius.  
 The new permit would allow the country to retain skills developed in Mauritius, and would allow young professionals to contribute to the workforce and economy.
  • Spouses. Spouses of Occupation Permit Holders seeking to invest or work in Mauritius will be exempt from an Occupation Permit, whereas currently they must apply for one. 
 Spouses of Occupation Permit will be able to continue to work or set up businesses, which could create employment opportunities for locals.
  • Reduction of minimum salary. The minimum salary for Occupation Permit holders in financial services would be reduced to MUR 30,000.  
 The current minimum salary is MUR 60,000. The current exchange rate is 1 MUR = .024 USD. The reduction will enable more employers to hire skilled foreign nationals. 
  • New Occupation Permit category. A new 10-year Family Occupation Permit (FOP) would be created for those contributing at least USD 250,000 to the COVID-19 Projects Development Fund.  

The new permit will enable Mauritius to gain more revenue to fund the country’s COVID-19 development-related projects.
  • Elimination of dependents’ age limit. The proposal would waive the maximum age for dependents of Occupation Permit holders, which is currently 24 years old.
 This measure will promote family unity and encourage dependents of foreign nationals to continue with their studies in Mauritius without fear of losing their continued dependence.
  • Smart Card. A Smart Card containing a chip with the applicant’s biometrics would replace the current paper-based Occupation Permit.
 This new Smart Card would prevent identity theft of foreign nationals and would make identifying the card holder safer and easier.

 

As a service economy, Mauritius has implemented several initiatives aimed at reviving its economy, which has been negatively affected by the COVID-19 pandemic. Authorities are taking measures to attract and retain skills and to ease access of employers to skilled foreign nationals.

The measures are similar to those undertaken by countries like Nigeria and South Africa recently to attract skills.

The Parliament will likely approve the above proposals before the end of the third quarter of 2021. We will report on related developments.

This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].

Fragomen.com home
Search Fragomen.com
Important Updates
Important Updates
Subscribe