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ICYMI: 12 country updates and locational challenges to keep your mobility program on track

Some big news related to short-term stays (under 30 days) in NYC with Local Law 18 coming into effect on Tuesday, September 5th. This Wired article felt that this law is so strict it doesn’t just limit how Airbnb operates in the city, but almost bans it entirely for many guests and hosts. From now on, all short-term rental hosts in New York must register with the city, and only those who live in the place they’re renting - and are present when someone is staying - can qualify. And people can only have two guests.

Our partners tell us that New York argues that the proliferation of short-term rentals through Airbnb and other platforms has pushed up rents and helped fuel New York City’s housing shortage. They anticipate (and are already seeing) that the impact will be far fewer Airbnb listings available and that any short-term rentals through platforms like Airbnb and VRBO for units that are not classified as “hotels,” and have not been registered with the city, will probably no longer be available. In fact, Insider reports that there has been a 77% drop in listings since June. Expect availability issues and increased pricing with hotels as they will be the alternative for short-term stays and will see an increase in occupancy. Airbnb says it is canceling and refunding reservations in unregistered accommodations from December 2nd onwards.

Let's look around at some additional updates that could also impact your relocating employees:

  1. United States: Good news for those traveling within the US in your global mobility program as airfares for domestic trips this fall are averaging 29% lower than prices over the summer. Learn about off-peak travel months. Also, per Envoy Global, USCIS published a Temporary Final Rule in May 2022 that increased the automatic employment authorization extension for some renewal applicants to 540 days. Previously, the automatic extension was 180 days.  The temporary rule is not expected to be extended, so applicants are encouraged to file Form I-765 before Oct. 26, 2023, to receive the 540-day extension.  

  2. Canada: Average rent in Canada hit a record high of $2,117/month. However, Canada's national housing agency says progress is being made on building enough housing to fix the country's affordability gap. This means that almost 3.5 million new units will still have to be built by the end of the decade, over and above what's already planned. That was the main takeaway from a new report the Canada Mortgage and Housing Corporation published Wednesday, updating its initial assessment from June 2022. Expect rents to remain high for some time. While Toronto and Vancouver still lead the way in terms of rent, the rest of the country is catching up fast.

  3. Mexico: According to Erickson Immigration, Mexico's COVID-19 related flexibilities will end on September 19, 2023. The government of Mexico, during the pandemic, suspended legal deadlines, statutory periods and other activities.

  4. Costa Rica: Also from Erickson Immigration, as of September 8, 2023, a new law has increased the maximum stay period for nationals in the 60 countries in “Group One” from 90 days to 180 days. Group One countries include Australia, Canada, Israel, Japan, Singapore, South Africa, United Kingdom, United States, most European countries, and several South and Central American countries.

  5. United Kingdom: It is worth mentioning again that the UK is increasing fees for immigration and nationality on October 4, 2023. Per Fragomen, most fees will rise between 15-20%. The cost of a typical worker visa submitted from outside the United Kingdom will increase from GBP 719 to GBP 827. Where possible, sponsoring employers should try to submit affected visa applications prior to October 4, 2023 to benefit from the lower fees.

  6. Sweden: A new model has been introduced for handling work permit matters and establishing units for international recruitment. Erickson Immigration states that the new model seeks to promote the recruitment of employers seeking to hire highly qualified workers from outside the EU, as well as shorten processing times. This would lead to highly-qualified workers receiving decisions within 30 days.

  7. Slovakia: Border and foreign police offices are slated to be closed for the remainder of September. Immigration processing will be suspended due to increased border security measures being put in place. Foreign nationals with already booked appointments can request an exception to the suspension and stay periods that are due to end during the period will auto extend two months. Additionally, Slovakia has now officially ended their COVID-19 related state of emergency.

  8. Iceland: Due to a tight labor market, Iceland is taking measures to attract more migrants from outside of the European Economic Area by changing their period of residency for several of their permits. They will be increasing the stay of their residency permits in order drive up applications and increase the work force.

  9. Israel: Israel will close its offices throughout the coming weeks in observance of several national holidays, including Rosh Hashanah, Yom Kipper and Sukkot. As a result of these closures, foreign nationals may experience application process delays and reduced in-person meeting hours throughout these dates. Per Envoy Global, these holidays take place on the following days: 
    • Rosh Hashanah: 17 September 2023; 
    • Yom Kipper: 24 and 25 September 2023; and  
    • Sukkot: 1 through 10 October 2023  

  10. China: The government of China updated its immigration entry permissions and measures for issuing visas and residence permits. According to Envoy Global, the following conditions will apply:
    • The government will now allow foreign nationals holding invitation letters and supporting business documents to obtain a landing visa upon arrival. From there, these travelers can upgrade to a single-entry visa or a multiple-entry business visa. The visas will hold a maximum validity of three years.  
    • The government will now return passports immediately upon inspection for residence permit applicants.  

  11. Philippines: Again from Newland Chase, the government of the Philippines has announced a series of changes in the document requirements will take effect immediately for Philippine Economic Zone Authority (PEZA) Visas.

  12. Malaysia: The country is digitizing expat authorizations through Xpats Gateway. Malaysia is working to simplify the process for Malaysian companies hiring expatriate workers by launching an electronic system. The Xpats Gateway is part of the Malaysia’s ongoing commitment to digitize government functions and position itself as a business-friendly nation.


 

Airbnb is also popular with some of the 66 million visitors a year looking for accommodations that are cheaper and sometimes larger than hotels. In 2022 alone, short-term rental listings made $85 million in New York. The city might be a relatively small slice of Airbnb’s global market, but the new rules show how local governments can effectively stamp out short-term rentals overnight and lessen their impact on dense residential areas. And New York is just one of many cities around the world trying to calm the short-term rental gold-rush.

Tags

icymi, united states, airbnb, new york, short-term housing, temporary living, accommodations, hotels, united kingdom, immigration fees, increase, israel, holiday, office closures, processing delays, china, landing visa, multiple-entry business visa, residence permit applicants, costa rica, mexico, slovakia, philippines, malaysia