New Zealand’s Accredited Employer Work Visa (AEWV) 2025 Reforms: Complete Guide
Introduction
New Zealand’s immigration landscape is undergoing significant transformation in 2025, with major reforms to the Accredited Employer Work Visa (AEWV) program announced by the government. These changes aim to create a more flexible and responsive system that addresses the diverse needs of businesses across various sectors and regions.
The AEWV, which serves as New Zealand’s primary temporary work visa, allows migrants to work for accredited employers for up to five years. Since its introduction, the program has facilitated the entry of skilled workers to fill crucial gaps in the New Zealand labor market. As of February 2025, Immigration New Zealand (INZ) has approved over 140,000 AEWV applications, with more than 26,500 accredited employers and 83,000 AEWV holders currently in the country.
This article provides a comprehensive breakdown of the upcoming changes, implementation timelines, and what these reforms mean for both employers and migrant workers.
What is the Accredited Employer Work Visa (AEWV)?
The Accredited Employer Work Visa is New Zealand’s main temporary work visa program, designed with three key objectives:
- Ensuring New Zealanders are prioritized for job opportunities
- Making it easier for employers to hire skilled migrants for genuine skill shortages
- Combating migrant exploitation through an accreditation system
The AEWV scheme operates through a three-step process:
- Employer Accreditation: Businesses must first become accredited employers
- Job Check: Accredited employers must have specific roles approved
- Visa Application: Only after the first two steps can a migrant apply for the visa
This structured approach helps maintain the integrity of New Zealand’s immigration system while addressing legitimate workforce needs. The visa allows migrants to work for an accredited employer for up to 5 years, depending on the skill level of their role and other factors.
Key Updates to the AEWV in 2025
The New Zealand government announced significant reforms to the AEWV in December 2024, with implementation planned throughout 2025. These changes aim to make the system more flexible and responsive to business needs while maintaining protections for both local and migrant workers.
Phase 1: January 2025 Changes
Starting January 27, 2025, several administrative changes took effect:
Removal of Online Module Requirements: Accredited employers and Recognised Seasonal Employers (RSEs) are no longer required to complete Employment New Zealand’s online modules. Instead, employers and workers receive links to freely available resources outlining employment rights and obligations.
Reduced Domestic Workforce Threshold: For triangular employers hiring certain construction roles, the domestic workforce threshold has been reduced from 35% to 15%, aligning with requirements for triangular firms in other sectors.
Phase 2: March 2025 Changes
From March 10, 2025, more substantial changes will be implemented:
Removal of Median Wage Threshold: Employers will no longer need to pay the median wage (previously NZD $29.66 per hour). Instead, they must pay at least the New Zealand minimum wage (currently NZD $23.15, increasing to NZD $23.50 from April 1) and ensure migrants receive the market rate for their position.
Reduced Work Experience Requirement: The work experience requirement for migrants will decrease from 3 years to 2 years, while still ensuring migrants have sufficient experience to minimize exploitation risks.
Declaration-Based MSD Engagement: Employers will simply need to declare in good faith that they have advertised lower-skilled roles (ANZSCO skill levels 4 and 5) with the Ministry of Social Development (MSD) and interviewed suitable candidates.
Extended Visa Duration: Visa length for new ANZSCO Level 4 and 5 AEWVs will be extended to 3 years, matching the total time migrants can stay in New Zealand on one or more AEWVs.
Increased Income Threshold for Dependents: The income threshold for supporting dependent children will rise from NZD $43,322.76 to NZD $55,844 annually (80% of the median wage).
ANZSCO Skill Level Reclassifications: Several occupations will be treated as ANZSCO skill level 3, including:
- Cook
- Pet Groomer
- Nanny
- Scaffolder
- Diving Instructor
- Snowsport Instructor
Phase 3: April 2025 Changes
April will bring enhanced work rights for interim visa holders:
- Applicants transitioning from any type of work visa or from student visas that allow work will be able to continue working while awaiting their AEWV decision.
- Time spent on an interim visa will count toward continuous stay calculations for AEWVs and work experience needed for residency pathways.
Phase 4: November 2025 Changes
The final phase will introduce two new seasonal visa pathways, though specific details are yet to be announced.
Employer Accreditation Process
The foundation of the AEWV system is employer accreditation. To hire migrants under this scheme, businesses must first become accredited employers through Immigration New Zealand.
Steps to Become an Accredited Employer
Application Submission: Employers apply through Immigration Online, providing details about their business operations, compliance history, and employment practices.
Assessment: INZ evaluates the application against accreditation criteria, including:
- Compliance with immigration and employment laws
- Financial stability
- Genuine need for migrant workers
- Commitment to training and upskilling New Zealanders
Accreditation Grant: If approved, employers receive accreditation valid for a specified period.
Post-Accreditation Checks: INZ conducts routine checks on approximately 16% of accredited employers annually to ensure ongoing compliance.
Post-Accreditation Compliance
According to Immigration New Zealand, post-accreditation checks can occur at any time and are separate from re-accreditation processes. These checks help ensure employers maintain their obligations and commitments.
Employers who fail to comply with accreditation standards may face:
- Suspension of accreditation
- Revocation of accreditation
- Penalties for breaching immigration or employment laws
The vast majority of employers comply with requirements and treat migrant workers fairly. However, INZ actively monitors employers and takes action when concerns arise.
ANZSCO Skill Levels and Their Impact
The Australian and New Zealand Standard Classification of Occupations (ANZSCO) plays a crucial role in determining various aspects of the AEWV process, including visa duration, labor market testing requirements, and pathways to residence.
What is ANZSCO?
ANZSCO categorizes occupations into five skill levels:
- Skill Level 1: Highly skilled roles typically requiring a bachelor’s degree or higher
- Skill Level 2: Roles requiring an associate degree, advanced diploma, or diploma
- Skill Level 3: Roles requiring a certificate IV or equivalent experience
- Skill Level 4: Roles requiring a certificate II or III
- Skill Level 5: Roles requiring a certificate I or on-the-job training
Transition to National Occupation List
Immigration New Zealand is transitioning from ANZSCO to the National Occupation List (NOL), resulting in reclassification of certain roles. From March 10, 2025, several occupations previously classified as skill level 4 will be treated as skill level 3, including:
- Cook
- Pet Groomer
- Nanny
- Scaffolder
- Diving Instructor
- Snowsport Instructor
Additionally, four roles will be recognized as skill level 3 if the employer specifies that the job requires either 3 years of work experience or a level 4 qualification:
- Agricultural Mobile Plant Operator
- Forklift Driver
- Truck Driver (General)
- Bus Driver
This reclassification has significant implications for:
- Visa Duration: Skill level 3 roles qualify for longer visa durations (up to 5 years)
- Family Support: Skill level 3 AEWV holders can support visas for family members
- English Requirements: Skill level 3 roles are exempt from English language requirements
English Language Requirements for AEWV
For ANZSCO skill level 4 and 5 roles, applicants must demonstrate English language proficiency. However, from March 10, 2025, English language requirements will no longer apply for any skill level 4 job that will be treated as skill level 3.
Applicants can meet English language requirements through:
- Citizenship and Experience: Citizens of certain English-speaking countries with sufficient work or study experience
- Qualifications: Holding qualifications from specified English-speaking countries
- English Tests: Achieving minimum scores on approved English language tests
The specific requirements vary based on the applicant’s background and the role they’re applying for. Full details can be found on the Immigration New Zealand website.
Benefits of AEWV Updates for Migrants
The 2025 reforms bring several advantages for migrant workers seeking opportunities in New Zealand.
Greater Flexibility in Job Changes
AEWV holders can apply to vary their employer, job, and location through the Job Change application process. This provides greater security for migrants, especially if they lose their job.
Key benefits include:
- No need to meet English language requirements or minimum skills threshold for Job Change applications
- Ability to transition between roles while maintaining visa status
- Reduced uncertainty during employment transitions
Enhanced Pathways to Residency
The reforms also impact pathways to permanent residence:
- From March 26, 2025, primary teachers will be added to the straight-to-residence pathway
- Reclassification of certain roles to skill level 3 opens up residence pathways previously unavailable
- AEWV holders in reclassified roles can support family for visas from March 10, 2025
According to Smith Stone Walters, a one-off increase in the Parent Category quota is also being implemented to enable applications that have been approved in principle to be issued in the current financial year.
Benefits of AEWV Updates for Employers
The reforms address several challenges faced by employers under the previous system, creating a more business-friendly framework.
Simplified Hiring Process
Employers will benefit from:
- Removal of Median Wage Requirements: Greater flexibility in setting wages based on market rates rather than arbitrary thresholds
- Streamlined MSD Engagement: Declaration-based process reduces administrative burden
- Elimination of Sector Agreements: Roles previously covered by sector agreements will be treated the same as other jobs of the same skill level
Addressing Labor Shortages
The changes are specifically designed to help employers fill skill gaps:
- Reduced Experience Requirements: Expanding the pool of eligible candidates
- Reclassified Occupations: Making it easier to hire for critical roles
- Extended Visa Durations: Providing greater stability for both employers and workers
According to KPMG’s analysis, these changes should make sponsoring foreign workers easier and faster, with more consistency and predictability in the decision-making process.
Challenges and Compliance for Employers
Despite the more flexible framework, employers must remain vigilant about their obligations under the AEWV scheme.
Ongoing Compliance Requirements
Accredited employers must:
- Continue to pay market rates for all roles
- Maintain good employment practices
- Comply with all immigration and employment laws
- Be prepared for post-accreditation checks
Consequences of Non-Compliance
Dentons notes that while the system is becoming more flexible, employers who fail to meet their obligations may face:
- Suspension or revocation of accreditation
- Placement on the immigration stand-down list
- Penalties for breaching immigration or employment laws
- Reputational damage
Employers should view the reforms as an opportunity to improve their hiring practices while maintaining high standards of compliance and worker treatment.
Future of AEWV and Immigration in New Zealand
The 2025 reforms represent a significant shift in New Zealand’s approach to temporary work visas, with potential long-term implications for the country’s immigration system.
Streamlined Job Check Process
According to BAL Global, a new job check process will be introduced in mid-2025 to further streamline the process for low-risk employers and help reduce processing times.
Evolving Immigration Landscape
The reforms align with broader trends in New Zealand’s immigration policy, including:
- Greater focus on addressing specific skill shortages
- More flexible pathways for migrants to contribute to the economy
- Enhanced protections against exploitation
- Streamlined processes to reduce administrative burden
These changes reflect New Zealand’s recognition of the vital role immigration plays in addressing labor market challenges and supporting economic growth.
FAQs About AEWV Updates
When do the AEWV changes take effect?
The changes are being implemented in phases throughout 2025: – Phase 1: January 27, 2025 – Phase 2: March 10, 2025 – Phase 3: April 2025 – Phase 4: November 2025
Will current AEWV holders be affected by these changes?
Current AEWV holders should continue to be paid in line with their employment agreement and visa conditions. However, they may benefit from certain aspects of the reforms, such as reclassification of occupations and enhanced pathways to residence.
How will the removal of the median wage threshold affect pay rates?
While the median wage threshold is being removed, employers must still pay migrant workers at least the New Zealand minimum wage and ensure they receive the market rate for their position and workplace location.
What happens to sector agreements under the new system?
Sector agreements that provided exemptions to the median wage will be removed. Sector agreements offering residence pathways will continue, with no changes to the wage rate required to gain residence.
How do the changes affect family members of AEWV holders?
From March 10, 2025, the income threshold for supporting dependent children will increase from NZD $43,322.76 to NZD $55,844 annually. Additionally, AEWV holders in roles reclassified as skill level 3 will be able to support family for visas.
What are the new work rights for interim visa holders?
From April 2025, applicants transitioning from any type of work visa or from student visas that allow work will be able to continue working while awaiting their AEWV decision. Time spent on an interim visa will also count toward continuous stay calculations.
Conclusion
The 2025 reforms to New Zealand’s Accredited Employer Work Visa program represent a significant evolution in the country’s approach to temporary work visas. By removing the median wage threshold, reducing experience requirements, and streamlining administrative processes, the government aims to create a more flexible and responsive system that better serves the needs of businesses and migrants alike.
For employers, these changes offer greater flexibility in hiring and reduced administrative burden, while maintaining important protections against exploitation. For migrants, the reforms provide enhanced pathways to residence, greater job security, and more opportunities to bring family members to New Zealand.
As these changes roll out throughout 2025, both employers and migrants should stay informed about implementation timelines and specific requirements. By understanding and adapting to the new framework, stakeholders can maximize the benefits of these reforms while ensuring compliance with New Zealand’s immigration laws.
For the latest updates and detailed information, visit Immigration New Zealand’s official website or consult with a licensed immigration adviser.
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