Engineer Silhouettes

16 August 2023

Changes to Accredited Employer Work Visa Category and Skilled Residence Pathways

Return of the Five-Year Work Visa but with a Catch

 

INZ has announced a significant change to the Accredited Employer work visa (AEWV) category, with the introduction of a ‘maximum continuous stay’ dependent on the role for which the visa is issued.

 

This includes the significant step of introducing a maximum continuous stay period for AEWV holders paid at or above the median wage. The maximum continuous stay for these visa holders will be capped at five years, and the maximum visa duration of a single AEWV will be increased from three to five years.  Meanwhile the visa duration for AEWV applicants in the care workforce sector who are paid at least the level 3 pay rate will be increased from 2 years to 3.

 

These changes are due to come into effect from 27 November 2023, and the implications for the work visa system in New Zealand are significant. After the maximum continuous stay has been hit, AEWV holders must spend at least 12 continuous months outside of New Zealand first, before they will be able to apply for and be granted a further AEWV. The only exception to this is where an applicant can demonstrate that they are on a pathway to residence, such as meeting the skill threshold but requiring more time to complete the required skilled work experience. Further detail relating to this exception is due to be released by INZ in the future.

Those issued with an AEWV prior to 26 November 2023 will be eligible to apply for the balance of their AEWV up to five years. This will not require a further job check if the employer is offering continued employment under the same conditions.

 

The maximum continuous stay is determined by role and in some instances also pay rate, as follows:

 

Role

Maximum Visa Length

Maximum Continuous Stay

Role paid at median wage or above

5 years

5 years

Care workforce sector role paid level 4 rate

3 years

5 years

Care workforce sector role paid level 3 rate

3 years

3 years

Construction/infrastructure sector roles paid below median wage

2 years

2 years

Transport sector roles paid below median wage

3 years

5 years

Seasonal snow and adventure tourism sector roles paid below median wage

7 months

5 years

Tourism and hospitality sector roles paid below median wage

2 years

2 years

Meat processing sector roles paid below median wage

7 months

7 months

Seafood processing (onshore) sector roles paid below median wage

7 months

7 months

 

In all instances, any further AEWV can only be approved for up to the maximum continuous stay. For example, a care workforce sector role paid the level 4 rate can be issued an AEWV valid for 3 years; however, should the holder apply for a further AEWV the visa length would be capped at 2 years, in line with the maximum continuous stay.

 

This is a significant change to the AEWV category, as traditionally roles paid at or about the median wage (or mid-skilled visas under the old Essential Skills work visa category) did not have a finite duration, as holders could continue applying for further visas without fear of hitting a maximum continuous stay. The intent of these changes seems to be to push AEWV holders towards residence applications within the duration of their maximum continuous stay, while those who may not be able to qualify for any reason are forced to depart for a period of at least 12 continuous months.

 

Eligibility for Skilled Residence Pathway via Work to Residence Extended

 

Changes have been made to Skilled Residence Pathways via Work to Residence, to extend eligibility for these work to residence pathways to include all types of temporary work visas. This expands on the existing criteria, which required work experience to be completed on an Accredited Employer Work Visa, with the only exception being if the work visa had been applied for prior to 4 July 2022. This opens up the eligibility for applicants under this category, and ensures that those who hold a different type of work visa have their eligibility preserved and do not need to move onto an AEWV in order to have a pathway to residence.

 

For many, this will be a welcome change that will likely expedite their ability to apply under this category as work experience completed on any type of temporary work visa can now be relied upon, provided it meets the rest of the relevant requirements. These changes will ensure consistency across the Skilled Residence Pathways and with the new Skilled Migrant Category settings, which will allow people to claim skilled work experience on all types of work visas.

 

As with all residence class visa applications, workers will need to meet relevant occupation, qualification and wage requirements where applicable. Applicants must also meet health, character, age and English language requirements when they apply for residence.

 

Green List Median Wage Requirements

 

The final change announced is clarification from INZ that Green List Work to Residence requirements will need to meet the median wage requirement at both the start of their work experience and at the time of their residence application, closing a loophole that may have allowed applications from applicants who only met this requirement at the time of their residence application.

 

Those who have applied for their work visa prior to 29 September 2023 will only need to meet the median wage requirement at the time of their residence application, with the above change made ahead of the Green List and Sector Agreements Work to Residence applications opening on 29 September 2023.

 

To discuss how these changes may affect your position or to plan the best approach to obtain residence in New Zealand, contact one of our team today.