Immigration New Zealand (INZ) has announced significant updates to the Accredited Employer Work Visa (AEWV) and median wage policies, set to take effect in February and March 2025. These changes aim to create a more flexible, business-friendly immigration system while ensuring fair wages and protections for workers.
Here’s a detailed breakdown of the upcoming changes:
1. Removal of the Median Wage Requirement
Effective 10 March 2025, employers hiring under the AEWV and Seasonal Specific Purpose Work Visa (SPWV) policies will no longer be required to pay the median wage. Instead:
Employers must pay at least the New Zealand minimum wage (currently NZD $23.15 per hour, increasing to NZD $23.50 from 1 April 2025).
Migrant workers should be paid at market rates, ensuring parity with New Zealand employees in similar roles.
Sector Agreements that provided wage exemptions will be removed, except for those offering residence pathways.
Jobs previously covered by sector agreements will now be treated the same as others at the same skill level, eliminating restrictions such as visa caps or time limits.
Current AEWV holders must continue receiving the pay stated in their employment agreements.
2. Work Experience Requirement Reduced to 2 Years
From 10 March 2025, the required work experience for AEWV applicants will be lowered from three years to two years.
Employers must verify that workers meet this threshold.
Applicants will need to provide evidence of their experience.
This change maintains sufficient experience levels to help prevent worker exploitation.
3. Simplified Employer Engagement with MSD
Starting 10 March 2025, the requirement for employers to engage with the Ministry of Social Development (MSD) will become declaration-based.
Employers must declare that they have advertised lower-skilled (ANZSCO skill level 4 and 5) roles with MSD and interviewed suitable candidates.
Employers must keep records of their engagement, as they may be asked to provide proof.
This change streamlines recruitment while ensuring local job opportunities remain a priority.
4. Extended Visa Duration for Low-Skilled Workers
From 10 March 2025, AEWV holders in ANZSCO Level 4 and 5 occupations will receive visas valid for three years, aligning with their maximum continuous stay in New Zealand.
5. Increased Income Threshold for Supporting Dependent Children
Effective 10 March 2025, the annual income threshold for supporting dependent children will increase:
From NZD $43,322.76 to NZD $55,844 (80% of the median wage).
This aligns with eligibility for partner work rights and will be updated annually.
Children holding a visa or with an application submitted before 10 March 2025 will still be assessed under the previous threshold.
6. Recognition of Higher ANZSCO Skill Levels
With INZ transitioning from ANZSCO to the National Occupation List (NOL), certain roles will now be recognized as ANZSCO Skill Level 3, including:
Cook (351411)
Pet Groomer (361113)
Kennel Hand (361115)
Nanny (421113)
Fitness Instructor (452111)
Scaffolder (821712)
Slaughterer (831212)
Additionally, four roles will be considered Skill Level 3 when employers require at least three years’ experience or a Level 4 qualification:
Agricultural and Horticultural Mobile Plant Operator (721111)
Excavator Operator (721214)
Forklift Driver (721311)
Mobile Plant Operators (721999)
7. Changes to Interim Visa Work Rights
From April 2025, further changes will apply to interim visa work rights:
AEWV applicants will receive work rights on interim visas if they apply while holding any type of work visa or a student visa that permits work during term time.
Time spent working on an interim visa will count towards total AEWV stay limits and work-to-residence eligibility.
8. Median Wage Adjustments
From 28 February 2025:
AEWV holders supporting a partner must meet an increased wage threshold of NZD $26.85 per hour.
Parent Category sponsorship income thresholds will be indexed to the new median wage of NZD $33.56 per hour.
These wage adjustments are based on Statistics New Zealand’s annual median earnings updates and ensure that migrants supporting family members have the financial stability to do so.
Key Benefits for Employers and Migrant Workers
At Trusthaven Immigration, we foresee these changes bringing several benefits:
More Flexibility in Hiring – Employers can set wages based on market conditions rather than a fixed median wage, making it easier to attract workers in lower-wage industries.
Reduced Bureaucracy – The declaration-based MSD engagement simplifies the hiring process for lower-skilled roles.
Longer Visa Duration – Employers will benefit from increased visa lengths, ensuring workforce stability and reducing renewal costs.
Easier Access to Skilled Workers – Lowering the work experience requirement and reclassifying skill levels makes it easier to recruit and retain talent.
Greater Job Security for Migrants – Removal of the median wage restrictions provides more employment options and stability for migrant workers as more employers will be able to afford hiring more migrants.
Smoother Residency Pathways – Recognizing interim visa work experience helps migrants meet residency criteria more easily.
Final Thoughts
These policy updates represent a significant shift towards a more adaptable immigration system. By balancing business needs with worker protections, New Zealand aims to remain an attractive destination for skilled migrants while fostering economic growth.
Comments