Busy Year for Reviews in New Zealand
March 31, 2014
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This year is shaping up to be a busy one for Immigration New Zealand. Reviews of immigration policies and the regulatory scheme governing the giving of immigration advice are either underway or due to start during the year, and new legislation before Parliament is expected to be enacted. The Prime Minister has also set an election date of 20 September 2014, which will mean a busy period ahead of the election for the current Minister of Immigration.
For your information, we provide a brief summary below of the immigration reviews most relevant to employers.
Review of Immigration Advisers Act 2007
The Terms of Reference for this review have been released, and a provider to undertake this review is currently being appointed. According to the Terms of Reference, this review is wide-reaching and will examine the effectiveness licensing has had on the industry in New Zealand.
Topics for review include whether the current licensing rules are overly restrictive, too generous or just right – particularly for groups such as employers, education agents and travel agents – and whether the qualifications required for licensing remain suitable and applicable to industry.
Recommendations are due to be presented to the Minister by June this year, which is a very tight timeframe but one the Government will be keen to keep given that it is an election year.
Review of Business Skills category – Long Term Business Visa
This review was concluded during 2013, and recommendations made to the Minister in December. This visa category is for individuals who wish to come to New Zealand to either set up a new, or purchase an existing, company. The Government has determined that it wishes to raise the expectations and requirement levels for this category, and as such it was closed for new applications in mid-December 2013.
The requirements for the replacement category, the new Entrepreneur Work category, were recently released and will be open for new applications from 24 March 2014. Unlike the previous category, which had no defined minimum financial requirements for either the applicant or the proposed business, the new category is points tested. Points will be awarded for such criteria as turnover, generating export income, creation of full time employment for New Zealand citizens or residents, and for having relevant self-employment experience.
The new application process, whilst significantly raising the skill level required, looks to be fair and should result in higher value businesses being created by new entrepreneurs in New Zealand. It should also provide greater clarity to prospective applicants around their chances of success in making an application for a visa under this category.
Immigration Amendment Bill (No 2)
In 2013, the Minister for Immigration introduced the Immigration Amendment Bill (No 2) to Parliament. The main purpose of this Bill is to discourage, and punish, employers who exploit migrant workers.
If the new Bill is passed, such employers will face a jail sentence of up to seven years, a fine of up to NZD 100,000, or both. Employers who themselves hold residence visas and are found to be in breach of the Act will also find themselves subject to deportation if they are convicted of the offence within ten years of gaining residence. This ties in with the fundamental principle of employment law in New Zealand where migrant workers have the same employment rights and protections as all other workers.
The Bill is currently with a Select Committee, whose recommendations are due to be reported in May.
Philippines Working Holiday scheme implemented
Effective from 5 February, a new working holiday scheme was opened for young people (up to age 30) from the Philippines wishing to come to New Zealand for a holiday and work for up to 12 months. One hundred places are available annually, although this year’s allocation was taken in a very short time. The scheme will not open again until February 2015.
Canterbury Skills Shortage List reviewed and updated
To ensure that employers in Canterbury have every opportunity to secure skilled staff for the Canterbury rebuild, the Canterbury Skills Shortage List (CSSL) was reviewed and updated in February. Four occupations were added, one removed, and some qualifications/experience criteria were updated and amended.
The list is due to be reviewed again by June 2014, and as the rebuild starts to accelerate we are likely to see more occupations added to the list, and perhaps an easing of the qualifications and experience required for some occupations.
Licensed Adviser No. 200800190
