HSM LAW
Cayman Islands Immigration Update – March 2026: Work Permit Stats and PR Factor 8 Clarity
The latest work permit statistics released by Workforce Opportunities & Residency Cayman (WORC) show that there are currently 37,075 work permits in place as of 11 March 2026. This represents a small decrease from February 2026, when 37,267 work permits Read more +
Cayman Immigration Reform: Progress, but Greater Clarity Needed
Recent immigration developments in the Cayman Islands represent meaningful progress, but they also highlight the need for greater transparency and certainty as further changes are introduced. Positive Developments: Protection for PR Holders and Applicants The Government should be applauded for Read more +
The Changing Face of Cayman: Immigration, Nationality, and the Permanent Residence Points System
Over the past decade, the demographic composition of the Cayman Islands’ expatriate workforce has undergone a notable transformation. These changes have important implications not only for labour market planning but also for the operation and perceived fairness of the Permanent Read more +
Chambers and Partners Features HSM Group in Global Legal Guide 2026
The HSM Group is pleased to be featured by Chambers & Partners in their 2026 Global Legal Guide. Our Intellectual property practice, HSM IP, has once again been ranked as a top tier law firm in their Global (Caribbean-Wide) Intellectual Read more +
Cayman Islands Immigration Update – March 2026: Work Permit Stats and PR Factor 8 Clarity
The latest work permit statistics released by Workforce Opportunities & Residency Cayman (WORC) show that there are currently 37,075 work permits in place as of 11 March 2026.
This represents a small decrease from February 2026, when 37,267 work permits were recorded.

While monthly fluctuations are common, the broader trend over the past 18 months is notable. Since September 2024, the total number of work permits has remained remarkably stable at around 37,000. At no point during this period has the total exceeded 38,000, suggesting that the Cayman Islands labour market has reached a relatively steady plateau following the post-pandemic growth period.
One question that naturally arises from the data is whether the Cayman Islands may have quietly reached a ceiling in the size of its expatriate workforce. This may also prompt a deeper question: are there now structural limits, such as housing availability, cost of living pressures, tighter regulatory scrutiny, or businesses not recruiting, that are beginning to cap further growth in the workforce? The numbers alone do not provide the answer, but the plateau is certainly worth watching.
Another notable trend emerging from the data is the increase in Working by Operation of Law (WOL) permits. WOLs are granted if a work permit has been rejected and appealed. Therefore, at the current time it appears that 61 work permits rejections are current under appeal.
The data shows a clear upward trend in the rejection of work permits or the delays in processing appeals or both:
- 1 May 2025 — 17 WOLs in place
- 11 August 2025 — 25 WOLs in place
- 4 November 2025 — 53 WOLs in place
- 11 March 2026 — 61 WOLs in place
This represents more than a threefold increase within less than a year.
While the underlying reasons may vary from case to case, the trend suggests that work permit refusals or complications in the appeal process may be increasing.
Either way, the growing number of WOLs is an important signal worth monitoring, especially if it is the case that Work Permit rejections are increasing.
Clarity on Factor 8 of the PR Points System: IAT Provides Guidance on Dual Nationality
For many years, there has been uncertainty surrounding how points should be awarded under Factor 8 of the Permanent Residence (PR) Points System in the Cayman Islands.
Factor 8 states:
“To maintain a demographic and cultural balance in our community, points will be awarded based on the applicant’s country of origin.”
Despite the significance of this factor in the overall points assessment, there has historically been little guidance or formal policy explaining how the Workforce Opportunities & Residency Cayman (WORC) or the Immigration Appeals Tribunal (IAT) should determine an individual’s “country of origin.” This lack of clarity has been particularly problematic in cases involving applicants with dual nationality.
The Recent IAT Decision
A recent decision by the IAT has provided some much-needed clarity.
In the case before the Tribunal, the Director of WORC assessed a Permanent Residence applicant who held dual British and Irish nationality as being British for the purposes of Factor 8. As a result, the applicant was awarded 5 points, rather than the 10 points that would have been awarded had the applicant been assessed as Irish.
The applicant appealed this decision to the IAT.
After reviewing the matter, the Tribunal determined that the Director’s approach was erroneous and ultimately quashed the decision.
The Tribunal’s Approach
In explaining how Factor 8 should be applied in cases involving dual nationality, the Tribunal indicated that the appropriate approach is to assess the applicant in a way that avoids unnecessary disadvantage. The IAT stated:
“The Appellant holds dual nationality and therefore, the Tribunal has resolved to approach the matter of Factor 8 — to award points based on the least likely to impose detriment to the Appellant.”
In practical terms, this means that where an applicant holds more than one nationality, the nationality that results in the higher score under Factor 8 should be used.
A Welcome Clarification
This decision represents a welcome clarification in an area that has long lacked formal guidance.
While decisions of the Immigration Appeals Tribunal are not strictly binding on WORC, they are nevertheless highly persuasive. As such, it is hoped that WORC will adopt this approach moving forward when assessing PR applications involving dual nationals.
Greater consistency in the application of Factor 8 will not only improve transparency in the PR process but will also help ensure that applicants are not unfairly disadvantaged simply because they hold more than one nationality.
Further clarification still needed
As was pointed out recently, Nepalese employees now make up, potentially, more than 5% of the work permit holder, if you exclude Government workers. This is still the case. Points are awarded for Factor 8 based upon the number of Work Permits held by nationals of a country. It has long been unclear whether or not the Department are considering Government Workers, who are exempt from the Work Permit regime, as holding a Work Permit for the purposes of Factor 8.
If Government workers are included in the consideration of Factor 8, the Nepalese applicants will receive 10 points for Factor 8. If Government Workers are not included then Nepalese individuals will receive 5 points for Factor 8.
Currently, from the statistics provided, we can see that there are at least three Nepalese individuals awaiting a decision on their PR application. This issue has needed to be resolved for a while now, especially as it is expected that more and more Nepalese individuals will be applying for PR in the upcoming years.