
Employers that incur penalties for severe breaches of employment laws on or after April 1, 2017 may face bars from recruiting foreign nationals for six months to two years. This measure applies to employers supporting work visa applications and approvals; those seeking accredited employer status or supporting residence class visa applications based on employment; and those who are part of the Recognised Seasonal Employer scheme.
Penalties and Bars
The Ministry of Business, Innovation and Employment (MBIE) will apply bars for major breaches that involve formal infringement notices and higher penalties, e.g., formal Labour Inspectorate infringement notices, Employment Relations Authorities or Employment Court penalties (including those resulting from private actions taken by employees) and Employment Court banning orders. The bar will be proportionate to the severity of the breach and the imposed penalty, as follows:
- Six-month bar will apply for a penalty up to and including NZD 1,000;
- 12-month bar will apply for penalties over NZD 1,000 but less than NZD 20,000;
- 18-month bar will apply for penalties of NZD 20,000 and over but less than NZD 50,000; and
- 24-month bar will apply for penalties of NZD 50,000 and above.
Implementation
The Labour Inspectorate will maintain a list of noncompliant employers, and INZ will use this list to prevent them from recruiting foreign nationals during the bar.
Immigration New Zealand (INZ) will place employers that incur penalties before April 1, 2017 on a list of noncompliant employers, and visa applications for their employees will be judged against immigration laws that require compliance with employment laws. The exact rules for employers that incur penalties before April 1, 2017 will be developed in future regulations.
What This Means for Employers and Foreign Nationals
The MBIE will be informing employers that are likely to face a bar. Employers who are informed of a bar should contact their immigration professional to discuss the next steps.
Foreign nationals working for employers found noncompliant during their employment will be allowed to work for the duration of their existing work visa, but will not be granted an additional work visa for the noncompliant employer.
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].
Explore more at Fragomen
Awards
Partner F. Joseph Paldino is recognized with the Utah State Bar’s Paul Moxley Outstanding Mentor Award for his dedication to mentorship in immigration law and fostering professional growth in the legal community.
Blog post
In this blog, Partner K. Edward Raleigh explains how modern immigration compliance must evolve from paperwork and formality into a strategic governance discipline that aligns outdated laws with today’s business realities and measures true compliance through systems, behavior and integrity.
Video
Senior Manager Fatima Aydin breaks down Irish citizenship by descent, a popular pathway for individuals of Irish ancestry to secure Irish citizenship and passport.
Awards
Eight Fragomen professionals in Mexico City recognized in The Best Lawyers in Mexico™ 2026 edition for excellence in Immigration Law.
Fragomen news
Partner Blake Chisam discusses DHS’s proposed rule expanding biometric data collection and continuous vetting, outlining key privacy and compliance implications for employers.
Fragomen news
Awards
Fragomen is recognized at the National Tier 1 level for Immigration Law in the 2026 edition of The Best Law Firms – United States, with 15 offices across the country also recognized for their excellence in immigration law.
Awards
Fragomen receives Altair Global’s 2025 Super Star Award for Humanitarian Commitment, honoring the firm’s leadership in advancing humanitarian mobility initiatives.
Media mentions
Partner Rick Lamanna discusses Canada’s 2025 federal budget and its significant shift in immigration policy including new limits on international student permits and temporary residents.
Fragomen news
Fragomen is cited in the UK House of Lords’ landmark report, “The Space Economy: Act Now or Lose Out,” published on 4 November by the UK Engagement with Space Committee.
Blog post
Manager Zaur Gasimov discusses Georgia’s new immigration and labour-migration reforms introducing mandatory work permits, stricter employer compliance requirements and increased penalties for non-compliance.
Awards
Partner F. Joseph Paldino is recognized with the Utah State Bar’s Paul Moxley Outstanding Mentor Award for his dedication to mentorship in immigration law and fostering professional growth in the legal community.
Blog post
In this blog, Partner K. Edward Raleigh explains how modern immigration compliance must evolve from paperwork and formality into a strategic governance discipline that aligns outdated laws with today’s business realities and measures true compliance through systems, behavior and integrity.
Video
Senior Manager Fatima Aydin breaks down Irish citizenship by descent, a popular pathway for individuals of Irish ancestry to secure Irish citizenship and passport.
Awards
Eight Fragomen professionals in Mexico City recognized in The Best Lawyers in Mexico™ 2026 edition for excellence in Immigration Law.
Fragomen news
Partner Blake Chisam discusses DHS’s proposed rule expanding biometric data collection and continuous vetting, outlining key privacy and compliance implications for employers.
Fragomen news
Awards
Fragomen is recognized at the National Tier 1 level for Immigration Law in the 2026 edition of The Best Law Firms – United States, with 15 offices across the country also recognized for their excellence in immigration law.
Awards
Fragomen receives Altair Global’s 2025 Super Star Award for Humanitarian Commitment, honoring the firm’s leadership in advancing humanitarian mobility initiatives.
Media mentions
Partner Rick Lamanna discusses Canada’s 2025 federal budget and its significant shift in immigration policy including new limits on international student permits and temporary residents.
Fragomen news
Fragomen is cited in the UK House of Lords’ landmark report, “The Space Economy: Act Now or Lose Out,” published on 4 November by the UK Engagement with Space Committee.
Blog post
Manager Zaur Gasimov discusses Georgia’s new immigration and labour-migration reforms introducing mandatory work permits, stricter employer compliance requirements and increased penalties for non-compliance.

