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New Zealand: Information on the New Accredited Employer Work Visa Program Released

April 21, 2022

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  • New ZealandNew Zealand

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At a Glance

  • The New Zealand government announced that the new Accredited Employer Work Visa (AEWV) program will open for Employer Accreditation applications from May 23, 2022, Job Check applications from June 20, 2022 and Migrant Check (Work Visa) applications from July 4, 2022.
  • Furthermore, the government released updated requirements for each of the stages of the AEWV program, including streamlined requirements for the Employer Accreditation Check stage, stricter requirements for the Job Check stage and clarified requirements for the Migrant Check stage.
  • Applicants must pay lodgment fees for each Job Check stage depending on the nature of the accreditation, the entity being accredited and the specific circumstances of the job and migrant checks.

The situation

The New Zealand government has confirmed that the new Accredited Employer Work visa (AEWV) program will require three checks before an employer can hire a migrant worker – the Employer Check (Employer Accreditation), the Job Check (labour market testing) and the Migrant Worker Check (visa application). The government also released new information including updated requirements and implementation dates for each stage of the AEWV process.

A closer look

CHANGES DETAILS IMPACT
Employer Accreditation Check Stage. Employers can start applying for the new Employer Accreditation on May 23, 2022.
  • Streamlined requirements. The requirements for standard and high-volume accreditation applications have been streamlined to have the same requirements. Employers must meet minimum accreditation criteria, including being registered and genuinely operating, be in a sound financial position, and have no recent history of regulatory non-compliance. Additionally, persons involved in recruiting migrant workers will be required to complete Employment New Zealand’s online modules on employment rights, and AEWV holders must be provided work-related settlement information.
  • Government filing fees. High-volume accreditation applications will continue to incur a higher government filing fee, and an additional government filing fee will apply to employers who seek to convert from standard to high-volume accreditation during the validity of their accreditation period.
  • Controlling third parties. Employers seeking to place migrants on AEWVs with controlling third parties (such as labour hire companies) and franchisees will be subject to additional requirements.
  • Standard versus high volume accreditation quotas. Employers who hold standard accreditation will be limited to sponsoring up to five migrants at any one time during their accreditation period. An additional quota space may become available in limited circumstances, including where the sponsored migrant’s visa has expired or cancelled, or the sponsored migrant is granted a variation of conditions to work for another employer.

 

  • Employers will benefit from a streamlined immigration process with a standard minimum accreditation criterion but must pay higher government filing fees for additional accreditations such as high-volume accreditation and controlling third party accreditations.
Job Check Stage. Accredited employers can start submitting Job Check applications on June 20, 2022.
  • Restricted labour market testing. Previously-available exemptions to labour market testing, such as those based on the role being in a regional area, will no longer be available. As such, all employers must advertise their vacancies (regardless of location). Employers will be required to disclose details about the role and guaranteed earnings on the advertisement. An exemption to labour market testing requirement will only apply if the role is paid at least twice the median wage threshold (approximate base salary of NZD 115,481.60 per year).
  • Forthcoming increase in minimum salary required. The minimum salary required for the Job Check stage continues to remain the New Zealand median salary wage, which will increase to NZD 27.76 per hour on July 4, 2022 (annual base salary or NZD 57,740.80 based on a 40-hour work week).
  • Multiple positions included in one job check. Employers can include multiple positions for the same job in one job check application, where the occupation, pay range, region/city and minimum job requirements remain the same, and are covered in the same labour market testing activities and proposed employment agreement.
  • Employers must comply with stricter labour market testing requirements and ensure that this minimum salary is offered when Job Check applications open on June 20, 2022, in addition to ensuring that the role is in line with the market rate in New Zealand.
  • Employers benefit from a simplified job check process where they can submit applications by foreign nationals for multiple jobs similar in nature simultaneously.

 

Migrant Check Stage. Applicants can start applying for the new AEWV (where employer accreditation and job checks have been completed) starting July 4, 2022.
  • Timing of AEWV applications. Applicants may only proceed to file their AEWV after the Job Check has been approved. As such, where an applicant is in New Zealand with an expiring visa and the new Job Check application has not been approved, the worker must apply for a bridging visa (in the form of a visitor visa) to stay authorized to remain in New Zealand while they wait for the Job Check application to be approved. The Visitor visa will not carry any work rights.
  • AEWV requirements. Migrants will be required to meet health, character, skills and experience requirements, and may be granted a visa for up to three years. Costs associated with the visa application (migration advice, visa application and air fares) may be passed to the worker.
  • Employer-sponsored residency eligibility. Employer-sponsored residency under AEWV will continue to remain restricted to AEWV holders who earn at least double the median wage (base salary of NZD 115,481.60 per annum). Eligibility requirements will be released as part of the Independent Skilled Migrant Category visa review.

 

  • Applicants currently working in New Zealand must ensure that they remain compliant to stay in New Zealand by applying for the necessary visitor visa and stop work activities while the new AEWV is pending approval.
  • Certain applicants who earn at least double the median wage continue to benefit from permanent residency pathway under the AEWV.

 

Background

  • Simplified process. With this new visa, the government is seeking to support businesses and regions in New Zealand in filling skills shortages by simplifying the visa application process and streamlining labour market tests for higher-paid roles.
  • Long-awaited implementation. Changes to the current process have been contemplated by the New Zealand government as early as 2019 and the implementation has been delayed from its earlier expected implementation date of early 2021.

Looking ahead

The New Zealand government will likely introduce further requirements for high-volume employers and introduce additional restrictions for a limited number of roles in the future as a way for the government to control and protect certain industries and local labour markets.

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].

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