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Major shake up of Essential Skills Work Visa Policy

A major shake up of essential skills work visa instructions is due to affect thousands of current work visa holders and their employers from the end of August.

The government has just confirmed the main details of the changes to essential skills work visa instructions which will be effective from 28 August. The changes will mostly affect those in lower skilled roles and will now limited the period of time they can remain in New Zealand before an enforced stand-down period and restricting their ability to support partnership and dependent visa applications.

Under the new rules, similarly to the SMC changes salary bands have been introduced that will determine whether an applicant is considered Low, Mid or Higher Skilled. The salary band’s are set based upon national median earnings.

  • Higher skilled individuals can be working in an ANZSCO occupation regardless of ANZSCO skills level and must have a minimum salary of more than $35.24ph and may be issued a work visa for up to 5 years in duration.
  • Mid-Skilled individuals  only applies to ANZSCO occupations skill level 1,2 and 3 with a salary of between $19.99 and $35.24ph, they be granted a work visa up to 3 years in duration.
  • Lower skilled individuals applies to ANZSCO occupations skill level 1,2 and 3 with a salary less than $19.99ph and ANZSCO occupations skill level 4 and 5 with a salary under $35.24, they will be granted a work visa up to 1 year in duration.

Changes to Lower Skilled Work Visa Holders

There are two significant changes that will affect lower skilled work visa holders.

  • They will only be able to work for a maximum of 3 years in lower skilled roles before they are required to spend 12 months outside of New Zealand before they can be granted a further lower skilled work visa.
  • They will no longer be able to support partnership work visas nor student visas for dependents as domestic students. Accompanying family members will be required to be eligible in their own right for essential skills or fee paying student respectively.  They will be able to access short term visitor visas.

Transitional instructions for those already in New Zealand holding Work Visas

A transitional policy has been put in place to protect those people and their families who are already in New Zealand and hold work visas that will be classified as lower skilled.

  • The 3 year period will not be retrospectively applied. It will begin from the time the next lower skilled visa is issued.
  • Accompanying family members already in New Zealand will be eligible for visas that have the same rights and conditions as those they currently hold and when the changes are implemented for the period of time that the main applicant remains lawfully in New Zealand. This means accompanying partners who hold work visas will be eligible for further partnership work visas for up to a further 3 years, and accompanying dependents  student visas with domestic student for the same period.
Further Review of Policy

A further review of the policy along with associated graduate work visa policy will take place later this year. It has been indicated that the review will look into whether there is a need for more specific regional and/or industry sector application of policy to recognise the variances that exist. The review will also attempt to better classify those roles that exist but do not have a clear ANZSCO occupation and how these should be treated to fit in the salary matrix. There will also be a review of graduate work visa instructions in respect to the ability of these visa holders to support accompanying family members.

It is always highly recommended professional advice is obtained from a licensed immigration adviser to best determine how these or any other policy changes may affect a person’s current immigration situation and future visa pathways.

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