Thousands of foreign workers allowed to stay in NZ as essential skills visas extended

July 15, 2021
Kris Faafoi says New Zealand is “committed” to its annual quota of 1500 refugees, but it will need to work with the UN refugee agency to raise levels back to normal.

At least 18,000 visa holders are set to benefit following the Government's decision to extend the duration of some essential skills visas and streamline the application process amid ongoing border closures. 

The maximum duration of essential skills visas for jobs paid below the median wage will temporarily increase from 12 months to 24 from Monday. The maximum duration of essential skills visas for jobs paid above the median wage remains at three years.

“We recognise the ongoing labour demand pressures faced by some sectors and we want to make the most of the skills we have in the country so the Government is making it easier for businesses to continue employing their current migrant workers,” Immigration Minister Kris Faafoi said.

It will apply to at least 18,000 people who are paid below the minimum wage, who will have their visa doubled to 24 months.

The move is part of the Government’s ongoing review of the country’s border settings.

“We want to work with sectors and seem them develop plans to attract, train and upskill Kiwis into roles, and invest in productivity changes that can help them move away from a reliance on low-paid and low-skilled migrant workers,” he said.

“Many sectors and employers are already looking at how to make those shifts as a result of Covid pressure on the supply of workers.”

However, the extension means the new Accredited Employer Work Visa - which was due to come into effect on November 1 - will be delayed until the middle of next year.

“The Government remains committed to the Accredited Employer Work Visa, which will ensure work visas issued reflect genuine regional skill shortages and strengthen labour market testing. However, we expect most essential skills visa holders will apply for this two-year visa, meaning the implementation of the Accredited Employer Work scheme would not be viable because of likely low uptake,” Faafoi said.

Any further changes and guidance on the new system will be provided ahead of its introduction, he said. 

The application process foressential skills visas will also be simplified for workers remaining in their current roles.

Under the new process, employers will not be required to complete a labour market test where a worker is applying for a visa for a full-time role which the worker already holds. The applicants will also not be required to provide medical and police certificates to Immigration New Zealand if the information has been supplied previously.

A labour market test will still be required where employers are filling a job vacancy to prove there are no New Zealanders available before a migrant worker can be hired to ensure Kiwis are prioritised for jobs.

Faafoi says the changes complement the Government's recent decision to extend around 10,000 Working Holiday and Supplementary Seasonal Employment visa holders.

Tourism Minister Stuart Nash says the Government “is listening to business concerns” in the wake of the border closures.

The Government previously rolled out Covid-19 support for businesses to “keep workers connected to employers and keep tourism businesses operating”, and the extension of the visas and streamlined application process is “the next step”.

Agriculture Minister Damien O’Connor says the move will help “provide welcome certainty” for farmers and farm workers.

It follows the Government’s recent exception to allow 200 migrant dairy farm workers and their families into the country.

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