Immigration New Zealand (INZ) has announced a number of changes to the Accredited Employer Work Visa (AEWV) to take effect from March 2025.
In December 2024, the Government announced reforms to the AEWV to make the settings more flexible and responsive to the differing needs of businesses in certain sectors and regions. As a result of this, Immigration New Zealand (INZ) will be rolling out a number of changes over the course of 2025. Further information about how these changes may affect employers and employees is here.
Phase 2 of these changes are as follows:
- Remove the Median Wage requirement from AEWV and Specific Purpose Work Visa (SPWV): From March 10, 2025, employers recruiting workers under the AEWV and seasonal SPWV policies will no longer be required to pay the median wage. Instead, there will be no set pay thresholds except the New Zealand minimum wage (currently NZD 23.15 an hour, increasing to NZD 23.50 an hour on April 1).
- Employers will, however, still be expected to pay migrant workers on par with their New Zealand counterparts (the New Zealand market rate).
- Sector Agreements which provided an exemption to the median wage will be removed alongside this change. Sector Agreements which offer residence pathways will continue to do so, with no changes to the wage rate required to gain residence.
- The removal of sector agreements means that roles previously covered by sector agreements for below median wage jobs are no longer subject to restrictions such as caps or limitations on visa duration and instead will be treated the same as other jobs of the same skill level.
- Current AEWV holders should continue to be paid in line with their employment agreement and visa conditions.
- Reducing the work experience requirement for migrants from 3 years to 2 years: From March 10, 2025, the work experience requirement for migrants will be reduced from three years to two years.
- Employers still have to check that their migrant worker meets the threshold, and applicants will still need to provide evidence that they meet the two-year threshold.
- This change will still make sure that migrants have enough experience to help minimize the risks of exploitation.
- Amending the requirement for employers to engage with the Ministry of Social Development (MSD): From March 10, 2025 the requirement for employers to engage with the MSD will be now become declaration based.
- They will need to declare in good faith, that they have advertised lower skilled roles (ANZSCO skill level 4 and 5) with MSD and interviewed candidates who may be suitable for the role.
- Employers will be required to retain evidence of their engagement as they may be requested to provide it.
- This can be done alongside recruitment employers will already be undertaking in the domestic labor market.
- Increasing the visa duration for ANZSCO Level 4 and 5 AEWV holders to 3 years: From March 10, 2025, the visa length for new ANZSCO Level 4 and 5 AEWVs will be extended to three years, matching the total time they can stay in New Zealand on one or more AEWVs (their maximum continuous stay).
- Increasing the income threshold for supporting dependent children: From March 10, 2025, the income threshold will be increased from an annual threshold of NZD 43,322.76 to NZD 55,844. This is 80% of the median wage (aligning with eligibility for partner work rights) based on an annual, 40-hour work week. It will be updated annually in line with changes to the median wage. The previous income threshold will continue to apply where a child held a visa on, or had applied for a visa, before March 10 – this ensures that children who are already here do not have to leave if their parent can meet the old threshold but cannot meet the new one.
Recognition of Higher ANZSCO Skill Levels
With INZ transitioning from the Australian and New Zealand Standard Classification of Occupations (ANZSCO) to the National Occupation List (NOL), there are differences with the classification of some roles.
So that applicants are not disadvantaged, from March 10, 2025, the following occupations will be treated as ANZSCO skill level 3 to align with their skill level in the NOL:
- Cook (351411)
- Pet groomer (361113)
- Kennel hand (361115)
- Nanny (421113)
- Fitness instructor (452111)
- Scaffolder (821712)
- Slaughterer (831212)
There are also four other roles that will be recognized as ANZSCO skill level 3 where the employer has specified that the job needs either three years of work experience or a level 4 qualification, as part of the job check. This ensures skilled workers can be retained in certain critical jobs. These four roles are:
- Agricultural and horticultural mobile plant operator (721111)
- Excavator operator (721214)
- Forklift driver (721311)
- Mobile plant operators not elsewhere classified (721999)
Erickson Insights & Analysis
Erickson Immigration Group will continue to monitor developments and share updates as more news is available. Please contact your employer or EIG attorney if you have questions about anything we’re reporting above or case-specific questions.