Employ staff who cross the border between Northern Ireland and Ireland

The Common Travel Area is a long-standing arrangement between the UK, the Crown Dependencies and Ireland. It lets British and Irish citizens move freely and live in either jurisdiction, with the right to work there. The UK and Irish governments signed a memorandum of understanding in May 2019 committing to keep it.

That makes hiring across the border straightforward. What needs care is which country's rules apply to the job: employment law, Income Tax and social security contributions can each point to a different place when someone lives on one side and works on the other.

Check the right to work

You must check the right to work of everyone you employ in Northern Ireland, including Irish citizens. British and Irish citizens cannot get an online share code, so check their original documents, such as a passport or passport card, or use an identity service provider. Workers who are not British or Irish citizens need permission to work in the UK.

Which country's rules apply

Income Tax

The 1976 UK–Ireland double taxation convention, as modified by the Multilateral Instrument, decides which country can tax a cross-border worker's pay and how relief is given where both can. Run PAYE in the normal way for work done in Northern Ireland, and ask HMRC before you change anything for an employee who lives in Ireland or splits their working time.

National Insurance for someone who works on both sides

If someone lives in the UK and works in two or more countries, including Ireland, they or you as their employer can apply to HMRC for a certificate confirming that they pay only UK National Insurance contributions. The same form covers someone who lives in Ireland and works only in the UK.

If a dispute arises

Employment claims about work in Northern Ireland go to the Industrial Tribunal or the Fair Employment Tribunal. Since 27 January 2020, anyone who wants to make a claim must first tell the Labour Relations Agency, which offers early conciliation. The Labour Relations Agency also advises employers on employment rights in Northern Ireland.