Ankur Sabharwal is the owner of immigration advice Visa Matters. He is a licensed immigration consultant who deals with complex immigration issues.
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From July 4, employers wishing to bring foreign workers to New Zealand on work visas must be accredited by INZ, says Ankur Sabharwal, owner of immigration consultancy Visa Matters.
OPINION: More than 5000 New Zealand employers have already applied for accreditation with Immigration New Zealand (INZ) ahead of the opening of the Accredited Employer Work Visa category on 4th July.
According to statistics from INZ on June 30, 5,282 employers have applied for accreditation since May 23. Of these, 3819 applications have already been approved.
INZ aims to decide 90% of employer accreditation applications within 2 weeks, but has not responded to my request to say whether this timeliness standard is met.
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Why is it important for employers to be accredited?
The Essential Skills work visa category closes next Sunday, July 3. As of Monday, employers wishing to bring foreign workers to New Zealand on a work visa must be accredited by INZ.
Employers whose personnel hold an essential skills work visa expiring from January 2023 must be accredited if they wish to continue using the work visa.
INZ estimates that approximately 24,000 employers will apply to be accredited. I suspect that number will be higher given the tight labor market and the fact that INZ is often surprised by the number of applications it receives (INZ, for example, predicted 165,000 people would qualify for the 2021 Resident Visa category; more than 200,000 people have actually applied, with a higher chance of applying before the category closes on July 31).
Government-funded employers such as hospitals and schools are only now beginning to realize that if they want to continue employing migrant workers, they must first be recognized by INZ.
The government has indicated that from 2023 all employers wishing to employ migrants with a work visa (including those with an ‘open’ work visa such as a post-study work visa) must apply for and approve an INZ-accredited employer.
How easy is it for an employer to get accredited?
Pretty easy. In most cases, INZ accepts an employer’s statements on their application form that they have met and will continue to meet the requirements of immigration law and employment law. An employer must also certify that he:
- have not made a loss in the past 24 months; or
- have a positive cash flow for each of the last 6 months; or
- have sufficient capital investment to ensure the viability of the business; or
- have a credible, minimum two-year plan (e.g. by having employment contracts) to ensure their business remains viable and ongoing.
Only a small number of employers are requested to provide additional evidence to support their accreditation application. These employers are usually “labour tenants” or “triangular” employers, that is, employers who hire migrants whom they send to work for other companies.
INZ requires employers who hire workers to provide more evidence in their applications, such as their policies and procedures to ensure that workers are well taken care of in the workplaces to which they are sent.
What are the fishing hooks?
While the first application for employer accreditation can be relatively straightforward, INZ will look much more closely at an employer’s second application, which must be submitted within 12 months of approval of the accreditation.
This is because employers must provide assurances in their original accreditation applications, including that they:
- Train their ‘key people’ (senior managers, including HR managers) in New Zealand business standards by completing Employment New Zealand online training modules
- Provide employees with “settlement information” within a month of getting an accredited employer work visa.
On their second accreditation application, INZ will ask employers for proof that these guarantees have been met. Failure to do so may result in their application being rejected.
Employer accreditation is only the first step…
Once accredited, employers must submit a Job Check application to INZ to prove that no New Zealanders were available for the positions they wish to fill with foreign workers.
The advertising requirements are much stricter for Job Check applications than for the Essential Skills category.
For example, job ads must include the job description, minimum and maximum wages (which must meet the market rate for that position and be at least $27.76 for most occupations), place of employment, minimum number of hours worked, minimum skills, experience, and qualifications required for the position.
Employers should not inflate qualification and work experience requirements; otherwise INZ will likely object.
Only after the employer’s Job Check application is approved can migrant workers apply for their accredited employer work visa, which is the third and final stage of the process. Employees must ensure that they are suitably qualified for the role offered and meet the health and character requirements for temporary entry.
Congratulations to the employers who have applied for accreditation from INZ and have already been approved.
Other employers should apply soon if they want to hire migrant workers in 2022.
Ankur Sabharwal is the owner of immigration advice Visa Matters. He is a licensed immigration consultant specializing in complex immigration matters. His previous article asked Are you served? By a Kiwi?
Disclaimer: This article does not constitute immigration advice. Individuals should seek personal advice from a licensed immigration counselor or attorney to assess their unique situation