NZ Median Wage Rise – Impact on Visa Categories

Minimum wage is the lowest remuneration that employers can legally pay their employees. Median wage refers to the borderline between the highest and lowest pay of workers in a specific position or occupation.

As of 19 July 2021, the New Zealand median wage is NZD $27 an hour. The median wage has a big impact on Employer Assisted Work Visa holders as well as for Residence Visas under the Skills Migrant Category (SMC).

Impact on Employer Assisted Work Visas

Whether a worker is paid below, equal to or above the median wage will determine the duration of the visa, the maximum time he / she can hold an essential skill visa, ability to support a partner or the need to leave New Zealand for 12 months after holding a 3 years visa (aka stand down period).
If your Essential Skills Work Visa (ESWV) was lodged on or after 27 July 2020 and you are paid equal to or above the median wage, you can support

• a work or visitor visa for your partner
• a visitor or student visa

You would be eligible for a 3 years visa.

If your essential skills work visa was lodged on or after 27 July 2020 and you are paid below the median wage, you can support

• a visitor visa for your partner
• a visitor or student visa for your dependent children provided you meet the minimum income requirement of NZ$ 43322.76 per annum.

If you are granted a visa on or from 19 July 2021, the maximum duration of your visa will be 2 years.

Impact on Residence Visas under the Skills Migrant Category (SMC)

For skill level 1, 2 and 3 occupations, the employer needs to pay the employee a minimum of NZ $ 27 per hour. For skill level 4 and 5 occupations, the employer needs to pay at least NZ$ 40.50 per hour to considered for Residence visa.

An applicant can claim bonus points for high remuneration if they are earning NZ$54 per hour or above (or the equivalent annual salary).

To know more about the new median wage and its impact on your visa application based on its assessment criteria, please contact Immigration Advisers New Zealand Ltd at contact@nzimmigration.info or call on +64 09 3790219. Our experienced team of licensed immigration advisers will be happy to guide you.