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NZIL Explain Dramatic Changes Implemented in New Immigration Laws

Tuesday 26 September 2017, 6:56PM

By Beckie Wright

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The changes to the Skilled Migrant Category Residence Category or points system and work visa rules have been implemented and NZ Immigration Law explain some of the changes as follows.

The most fundamental changes in residency rules are the introduction of a salary band as a proxy for the assessment of skill, and only recognising work experience that is also assessed as skilled. The vexing use of the ANZSCO classification still remains. Trying to prove (by paperwork) that an employee’s job substantially matches a statistical description of the role has been a challenge many employers have failed to meet, resulting in the failure of residence applications. Now that challenge has also been imposed on applicants under the guise of proving “consistency” with the ANZSCO description for their prior work experience.

Employers seeking to support employees in residence applications will need to be prepared to increase salaries and wages.

However, that problem won’t be overcome by placing people on salary as the thresholds are calculated on a per hour basis. The introduction of salary bands ties in with changes to Work Visa rules which also have salary bands as a proxy for skill, but now the payment at or above the salary band will be a condition of the visa. Failure to pay at the required level or trying to find smart ways around it will result in the decline of further visas and potentially a prohibition on being able to support work visa applications under the new employer compliance regime.

The salary bands differ between the two categories. In short the lower the skilled job the higher the hourly rate needs to be for a person to be able to transition to residence with the same role. For those seeking work visas in lower skilled roles, they will be given yearly visas (provided the employer can satisfy a labour market test) but only up to a maximum of three years. At the end of that period they will need to be absent for a year to seek a visa for the same job. Otherwise to remain in New Zealand they will need to apply for a work visa for a higher skilled role.

The messages to employers are clear. Create pathways to promotion and higher wages for those staff you consider add value to your business. Otherwise be prepared to replace that employee in three years. Comply with immigration rules and labour laws otherwise you won’t be allowed to support applications for work or residence visa, and make sure you know the skill level of the job so you can establish what you will need to pay for the work visa and residence application to be successful. The next thing coming is enforcement of diversity in the workplace.

For more information on immigration lawyers Auckland, immigration consultants Auckland and immigration advice NZ please go to https://www.nzil.co.nz .