Labour Market Testing – Don’t miss this update!

The underlining premise for a Temporary Work Visa is to fill positions where there are no “suitable New Zealand citizens or Resident class visa holders available who can take up the work or ready to be trained to do the work on offer“. Keep this is mind as you read.

The most common type of work visa is Essential Skills. Employer’s are aware of the Labour Market Testing required with this, and if the skills are deemed “low-skilled” a Skills Match Report from Work and Income New Zealand (“WINZ”) is also required.

Labour Market Testing and active advertising is supposed to be current and should have taken place in the last three months, following the lodgement of a work visa application. This approach has now become redundant!

What has changed?

Employer’s will have to demonstrate the Labour Market Testing is performed in “real-time and will be asked by Immigration New Zealand to demonstrate the evidence. Visa applications currently in process will also have to meet this criteria. In other words, your Advertising needs to remain active, even though you have found a suitable applicant [migrant worker] to fill the role.

We are in week 9 of the 12 week Wage Subsidy scheme and the second wave of unemployment will hit after week 12. Logic will tell you there will be plenty of suitable New Zealand citizens or Resident class visa holders available to take up roles and/or also be trained-up in roles. With the New Zealand government pouring funds toward training and up-skilling, there will be little room for Employers to look toward migrant workers.

Employers will also need to demonstrate they meet the financial obligations to support a work visa holder. Immigration New Zealand will review your financial records to meet and provide full-time, ongoing, sustainable employment. Employers will have no choice but to oblige with these requests.

Onshore versus Offshore Visa Applications

Onshore – if an applicant is in New Zealand and applies for a work visa, they will have the right to provide further evidence in support of their lodged application before a decision is made.

Offshore – if you are based overseas, you will unfortunately not be awarded this opportunity to provide further evidence. This can have a negative impact on your application. Careful planning will be required in this situation.

Finding a solution

There is a fine balance in finding a solution for both the Employer and future Employee. Careful consideration and pre-emptive planning needs to be taken into account.

Feel free to Contact Us should you find yourself in this situation or require some strategic planning on how to overcome Immigration New Zealand’s requirements.


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