Employer engagement with Work and Income required for Job Check (ANZSCO Level 4 and 5 roles)
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As of 7 October 2024, accredited employers in New Zealand will face significant changes when hiring for ANZSCO Level 4 and 5 roles. Under the new rules, employers must engage directly with Work and Income at the Job Check stage to genuinely assess the availability of local workers before considering migrant employees.
This change aims to improve the integrity of the Labour Market Test by prioritising domestic candidates.
In this blog post, we’ll explain the impact of this change on hiring processes, particularly for those roles at ANZSCO Levels 4 and 5, and provide actionable steps for employers to comply with the new requirements.
For more information about Job Checks, check out Job Checks for Accredited Employers.
Direct employer engagement with Work and Income
The most significant shift in policy is the requirement for employers to communicate directly with Work and Income regarding vacancies for ANZSCO Level 4 and 5 roles. Immigration professionals will no longer be able to liaise on behalf of employers during this part of the Job Check process. Instead, businesses will need to designate a hiring manager, HR representative, or owner/operator to manage these interactions.
The government has introduced this change because when only immigration advisers handled these communications, it became difficult for Work and Income to fully engage with the employer regarding domestic job applicants. By requiring a direct contact with decision-making authority, the process ensures that local candidates receive genuine consideration.
Can employers still use recruitment agencies?
Yes, employers can still engage external recruitment agencies for help with hiring, but there are some key caveats. These agencies must be directly involved in the hiring process, and they cannot provide immigration advice on the Job Check application. This ensures a clearer separation between the recruitment of local candidates and immigration processes, promoting fairness and compliance with the updated rules.
How will this impact hiring for ANZSCO Level 4 and 5 roles?
These new requirements will have a notable impact on how employers conduct the hiring process for lower-skilled roles. Here’s what to expect:
1. Increased employer responsibility
Previously, immigration professionals often handled the administrative burden of engaging with Work and Income. Now, employers will need to take a more hands-on approach, directly involving themselves in verifying the availability of New Zealand workers. This could require more time and attention from internal HR teams.
2. Genuine labour market testing
The new process reinforces the need for employers to seriously consider New Zealand job seekers before looking overseas. Employers must genuinely test the local labour market, meaning that more thorough engagement with Work and Income is required to assess potential domestic candidates. This could lengthen the hiring timeline as employers wait for feedback or recommendations from Work and Income.
3. Streamlined communication with Work and Income
By having a direct contact person with authority, communication between employers and Work and Income is likely to improve. This means a more efficient process for identifying whether suitable New Zealanders are available, particularly in regions or sectors with higher unemployment rates.
4. Limitations on third-party agencies
Although employers can still use recruitment agencies, they must ensure these agencies are not offering immigration advice in conjunction with their recruitment services. This change reduces the likelihood of conflicts of interest and encourages employers to be more actively involved in the recruitment and immigration processes.
5. Potential delays in hiring
For employers accustomed to outsourcing much of the process, this shift may increase hiring timelines. Since direct engagement is now required, it may take longer to complete the labour market testing process before proceeding with a migrant hire, particularly in industries with skills shortages where swift hiring is crucial.
What roles will be affected?
The changes primarily impact roles classified as ANZSCO Level 4 and 5, which typically require lower levels of formal education or on-the-job training. Here are some examples of affected roles:
ANZSCO Level 4 roles
These jobs usually require the equivalent of NZ Register Level 2 or 3 qualification or AQF Certificate II or III qualification or at least one year of relevant work experience. Common examples include:
- Clerical and administrative workers (e.g., data entry operators, office assistants)
- Sales assistants (e.g., retail assistants, checkout operators)
- Plant and machine operators (e.g., truck drivers, forklift operators)
- Labourers across various sectors
ANZSCO Level 5 roles
These roles often require no formal qualification, and employees are typically trained on the job. Some examples include:
- Food preparation assistants (e.g., kitchenhands, fast food workers)
- Cleaners (e.g., domestic and commercial cleaners)
- Farm and livestock workers (e.g., fruit pickers, dairy farm assistants)
- Elementary service workers (e.g., security guards, parking attendants)
What does this mean for employers?
Employers hiring for ANZSCO Level 4 and 5 roles will need to take a proactive approach to engaging with Work and Income to comply with the new rules. This change places greater emphasis on ensuring that New Zealand workers are given full consideration before migrant workers are hired. While this may increase the time and resources needed for the recruitment process, it helps reinforce the integrity of the Labour Market Test and supports domestic employment opportunities.
Preparing your business for the changes to ANZSCO Level 4 and 5 roles
The changes to the Job Check process reflect the government’s broader commitment to improving the temporary work visa settings in New Zealand. By requiring direct employer engagement with Work and Income for ANZSCO Level 4 and 5 roles, the new policy strengthens the Labour Market Test and promotes fairer consideration of local workers.
Employers must now prepare for this shift by reviewing their hiring processes and ensuring they have the right contacts in place to manage communications with Work and Income. If you rely heavily on migrant workers, it’s important to understand how these changes will affect your recruitment strategies.