90-day trials extended to most, but not all Kiwi employers
Wednesday, 8 May 2024
The New Zealand Government has recently extended access to 90-day trials to all employers in New Zealand to use when hiring new employees. However, there is one notable category of employees who are exempt: those who are hired under the Accredited Employer Work Visa (AEWV) scheme.
We spoke to Employsure’s advice team to find out more about AEWVs, being an accredited employer, and the law around 90-day trials.
Q. What is an Accredited Employer Work Visa?
AEWVs are temporary work visas that allow skilled migrant workers to work for up to three years for accredited employers in New Zealand in industries where there is genuine skill or labour shortage.
An AEWV is an opportunity for international workers to get involved in New Zealand’s world-renowned agricultural industry, especially in dairy farming, sheep farming, viticulture, and horticulture.
What makes this visa particularly attractive is that it is not only a chance for people to hone their skills internationally, be paid a fair wage, and work in a country with incredible landscapes; it facilitates longer-term skilled positions and a pathway to permanent residency.
It is common for Kiwi businesses operating in the agricultural sector, especially dairy farms, to fill skills gaps by utilising international labour through this visa.
An AEWV worker being hired for a role at the herd manager position or higher must produce evidence that they possess the skills and experience necessary for the job. Migrant workers at this level have a pathway to residency once they’ve worked on a Kiwi farm for at least three years, which is when the AEWV would expire.
Q. What is an accredited employer and how can a business become one?
Accredited employers are businesses that have been approved by Immigration New Zealand to hire migrant workers on AEWVs. There are several requirements for employers to meet to become accredited, including:
Paying workers at least the New Zealand median wage unless the role is on an exemption list
Attempting to hire New Zealanders for the role first for at least two weeks - Farm Source Jobs is a great resource
Having a good track record of employing migrant workers fairly and ethically
Any business that is looking to become accredited by Immigration New Zealand should seek expert advice before embarking on the process as there are many conditions in the fine print, which can be overwhelming.
Q. What is the law around AEWVs and 90-day trials?
In October last year, a major change was made to the rules surrounding 90-day trial periods for workers hired on an AEWV: these workers were no longer able to be employed under the 90-day trial.
The aim of this law is to provide greater protection to migrants who often pack up their lives to come to New Zealand, ensuring they have ongoing job security and financial stability once they arrive.
Q. What should accredited agricultural businesses consider when hiring AEWV workers?
Hiring an AEWV worker should be a long-term decision and not one that is taken lightly or hurriedly - without the chance to assess a worker’s suitability during a 90-day trial period, the stakes are higher to pick the perfect candidate.
Enacting a rigorous selection process during recruitment will help employers to ensure that applicants truly have the skills and experience needed to perform the role.
Accredited agricultural businesses that already employ migrant workers on an AEWV should review their employment agreements to ensure that they don’t include a trial period.
Ultimately, the law preventing accredited employers including 90-day trials in employment contracts with AEVW staff protects the rights of migrant workers in New Zealand.
By complying with the legislation and making strategic adjustments where needed, accredited employers can continue to manage a productive workforce, demonstrating at the same time their commitment to fair and ethical employment practices.