IMMIGRATION LAW UPDATE RACHAEL MASON
Ray of hope In the past month, we have seen Immigration New Zealand (INZ) offer a reprieve for employers of migrant workers who have been struggling to manage their workforces because of the COVID-19 pandemic. Rachael Mason, Partner at Lane Neave, shares the impact of this government policy u-turn.
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t has been a difficult time for employers of migrant workers with having to deal with a variety of challenges in the immigration system and managing migrants, with issues ranging from: having employees stuck offshore and unable to return; having employees separated from their family offshore; and the inability to recruit from offshore due to the closed border.
Significant change
On top of these challenges, INZ announced earlier in the year it would roll out the new Accredited Employer Work Visa (AEWV) system on 1 November, requiring all employers of sponsored migrant workers to apply for accreditation and a substantial overhaul of the main categories of work visas. 30
HUMAN RESOURCES
SPRING 2021
This looming significant change in policy, in conjunction with the change to the median rate of pay (an increase from $25.50 per hour to $27 per hour) and the short duration of work visas for those paid below median wage, meant many employers were concerned about the significant difficulty they would face in managing their migrant workforces. In particular, the changes would place substantial burdens on employers to invest both time and money into understanding the changes and their implications, becoming ‘accredited’ and supporting migrant worker employees in their visa applications. It would not be overstating it to say that these proposed changes had the potential to create an extremely challenging set of circumstances.
Delay on the way
However, in a last-minute u-turn, the Minister of Immigration has announced major changes (or a delay of changes) that will provide welcome relief for employers, as follows: • the introduction of the new AEWV regime has been delayed until mid-2022 • a substantially streamlined work visa application process for certain existing work visa holders
who are remaining in their current full-time employment (including the fact that no labour market test is required and police and medical certificates are not required if they have previously been provided) • provision for Essential Skills work visas for durations of two years (if the pay rate is below median wage) or three years (if the pay rate is above median wage). In many circumstances, in combination, these changes will make it simpler, cheaper and faster for a migrant worker’s work visa to be extended. This is a real win-win for both migrant workers and their employers in these uncertain and challenging times. The longer visa duration of two and three years (but particularly two years for those employees paid below median wage) also means employers and employees can have certainty that their positions are secure for a longer period. This position will be a relief not just in terms of stability but also in saving employers from needing to devote considerable time to what would otherwise have been one or more visa extensions (each requiring new labour market testing) during that same timeframe. There will still be occasions when labour market testing will be required, most often