New Zealand has announced new rules for foreign workers related to their salary thresholds, work experience, visa duration and median wages. These new changes will change the rules of the Accredited Employer Work Visa (AEWV) which is the primary temporary employment visa in New Zealand.
As a result, the modifications in the AEWV rules will impact both employers who hire migrants and foreign workers who are applying for an AEWV.
Some of the new rules are effective February 28 while most others are as of March 10, 2025.
Median wage requirement
Employers hiring under the seasonal SPWV and AEWV policies will no longer be obliged to pay the median salary from March 10, 2025. Rather, the New Zealand minimum wage will be the only fixed pay barrier. The minimum wage in New Zealand is currently NZD 23.15 per hour, but on April 1st, it will rise to NZD 23.50 per hour. However, employers will still be required to pay migrant workers the same as their counterparts in New Zealand.
Sector Agreements that granted an exemption to the median wage will therefore be eliminated in conjunction with this modification. However, Sector Agreements that offer residence pathways will continue to do so, with no changes to the wage rate required to gain residence.
The elimination of sector agreements means that jobs that were previously covered by sector agreements for jobs paying less than the median salary will now be considered equal to other jobs of the same skill level and won’t be subject to restrictions like ceilings or limitations on visa duration. Also, the terms of their job contract and visa will still be followed when paying current AEWV holders.
Work experience requirement for foreign workers
The three-year work experience requirement for foreign workers will be lowered to two years as of March 10, 2025. Applicants will still need to show proof that they meet the 2-year barrier, and employers will still need to verify that their migrant worker fulfills the threshold.
Visa duration for foreign workers
From 10 March 2025, the visa length for new ANZSCO Level 4 and 5 AEWVs will be extended to 3 years, matching the total time they can stay in New Zealand on 1 or more AEWVs (their maximum continuous stay).
Increasing the income threshold for supporting dependent children
Starting 10 March 2025, the annual income threshold will increase from NZD 43,322.76 to NZD 55,844, 80% of the median wage, aligning with partner work rights eligibility 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 or had applied for a visa, before 10 March – this ensures that children who are already in New Zealand do not have to leave if their parent can meet the old threshold but cannot meet the new one.
Median wage changes
From 28 February 2025, AEWV holders who want to support a partner will still be required to meet the wage threshold, which is increasing to NZD 26.85 an hour.
From 28 February 2025, income thresholds for sponsors under the Parent Category will indexed to the new median wage of NZD 33.56 an hour.
Other Changes
Further, starting 10 March 2025, employers must declare in good faith that they have advertised lower-skilled roles with the Ministry of Social Development and interviewed suitable candidates, and retained evidence of their engagement.
Additional modifications about work rights for individuals on temporary visas, while they await the decision of an AEWV application, will take effect in April. AEWV applicants who apply while on any kind of work visa or on a student visa that allows employment during the academic year will be granted temporary work privileges.
Additionally, time spent on an interim visa that permits employment will be taken into account when determining a migrant’s total continuous stay under the AEWV and for obtaining work experience required for work-to-residence pathways.
Impact on Foreign Workers
If a foreign worker has applied for an AEWV before March 10, 2025, but wants it processed under new rules, New Zealand Immigration may consider an exception based on the specific circumstances of the application.
Those AEWV applicants who have already applied can provide updated employment information during visa processing, including a change in pay rate, which must meet market rates and be at least NZD $23.15 an hour.
If you have an AEWV under processing on March 10, 2025, you should have already supplied proof of three years of work experience with your application. However, if you have only supplied two years of work experience, New Zealand Immigration will accept it if your application is in progress on 10 March 2025.
Further, if you are applying for an AEWV you must meet English language requirements if you have been offered an ANZSCO skill level 4 or 5 job. From 10 March 2025, English language requirements will no longer apply for any ANZSCO skill level 4 job that will be treated as an ANZSCO skill level 3 job. This applies even if your employer’s job check was approved before 10 March 2025.
