IMMIGRATION LAW UPDATE RACHAEL MASON
New essential skills work visa policy and the border exception process In our last article, we discussed the fact that the labour market test (LMT) component of Essential Skills work visa applications was going to become much tougher in the post-COVID world. We also discussed the fact that the LMT applies to renewing or extending existing work visa applications as well as to new work visa applications and is likely to be a ‘dealbreaker’ in many upcoming visa applications. Immigration New Zealand has now released policy changes to the Essential Skills work visa, including LMT requirements.
W
ith the borders now closed, many employers either have existing migrant worker staff who are ‘stranded’ offshore or are considering recruiting a new employee who is based overseas and want to know: can I get them into New Zealand? We discuss the latest position on both of these issues below.
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HUMAN RESOURCES
SPRING 2020
Changes to Essential Skills work visas
Some important implications that these changes mean for employers include: higher frequency of visa applications (now only a sixmonth visa in many cases) with a corresponding increase in time spent providing LMT information, a higher proportion of employers will now need to engage with Work and Income, and some employees who relied on their partner’s ability to work in New Zealand under the old rules may be forced to consider leaving.
The table below summarises these changes.
Example:
The Australian and New Zealand Standard Classification of Occupations (ANZSCO) classification will no longer be used as a component for determining the conditions of an Essential Skills work visa. From now on, the sole factor in determining the visa conditions, and also the nature of the LMT required, will be whether the rate of pay is above or below the median wage (currently set at $25.50 per hour).
Labour market test
A is a qualified baker (an ANZSCO level 3 role) and is paid an hourly
Below median wage*
Above median wage
National recruitment
National recruitment
Engage with Ministry of Social Development Skills Match Report Visa duration
Family members
Six months**
Up to three years
Maximum duration of three years
No maximum
12-month offshore stand down
No stand down
Partner: visitor visa
Partner: open work visa
Children: domestic student visa
Children: domestic student visa
*Median wage is currently $25.50 per hour or $53,040 per annum based on a 40-hour week. **Until January 2022, the maximum visa length obtainable will be six months. Subject to review, this length may return to 12 months.
