With the changes to New Zealand’s Accredited Employer Work Visa (AEWV) taking place in March 2025, one key element has gained renewed importance—ensuring the market rate of pay. If you’re an employer looking to hire migrant workers or a worker seeking an AEWV, this is a crucial concept to understand. But don’t worry, we’re here to break it all down for you in simple terms.
The “market rate” is essentially the going rate of pay for New Zealand workers doing a similar job in the same field. It’s how much you’d typically need to pay a New Zealand citizen or resident to attract them to the role. Relevent immigration instruction (W2.2.15) defines it this way to ensure fairness in the labour market.
The logic here is simple—paying at or above the market rate protects the wages and working conditions of New Zealanders. It discourages employers from “undercutting” by paying migrant workers less than what the role is worth, which could drive wages down and limit opportunities for locals.
Put another way, offering lower-than-market rates doesn’t just hurt New Zealand workers; it can also make it harder for employers to genuinely claim they can’t find locals for the role.
After the AEWV changes in March 2025, the median wage requirement will no longer serve as a blanket benchmark. This creates greater variability in pay rates for different jobs, meaning that immigration officers need to pay closer attention to whether a proposed rate aligns with the market rate.
For employers, this means your job offer must carefully reflect what a New Zealand worker would expect to earn in a similar role. For migrant workers, it ensures your pay rate is fair and competitive—not just a shorthand to fill vacancies quickly.
Immigration officers use different methods to assess whether a proposed pay rate meets the market rate. These can vary depending on how clear and reliable the available data is.
If one source of information clearly shows that the pay rate aligns with the market rate, that could be enough. For instance, if a trusted job listing platform provides recent and reliable data, an officer might approve the job check application without needing more evidence.
Take this example of a Storeperson’s pay:
If the pay offer matches or exceeds this range, the job check might sail through without issue.
But what if the single source isn’t reliable? For example, data from Careers NZ might show outdated pay rates (e.g., figures from as far back as 2018). If the pay offer doesn’t match clear, current trends, immigration officers may need to consult multiple sources to reach a decision.
They could look at:
By comparing multiple datasets, officers can form a well-rounded picture before deciding whether the market rate is met.
When a pay rate sits well below the market rate, immigration officers need to determine how far outside the expected range it is. If the difference is minor—and the employer appears to meet other AEWV requirements—officers may still approve the job check, provided they believe New Zealand workers would accept the job at the given rate.
However, when the pay rate is significantly off, this could trigger “PPI” (Potentially Prejudicial Information). Essentially, an officer would raise a red flag with the employer, letting them know they need to justify the rate to avoid rejection.
What if salary sources conflict? For instance:
Here, the immigration officers officer are instructed to weigh the data carefully:
Clearly, Seek would hold more weight due to its recency, reliability, and scale. Decisions like this help ensure assessments are fair and consistent.
Employers must ensure the entire pay range offered meets or exceeds the market rate. For example, if you propose a range of $55,000-$70,000 for a job where the market rate is $60,000-$70,000, the lower end of your range undershoots, creating a problem.
It’s also important to note that future pay increases can’t be used to justify an application. The rate offered must meet the market rate at the time of the Job Check.
If you’re offering a job to a migrant worker, here’s how to get it right:
Specify the full pay range in your job offer upfront, ensuring it’s above the market rate.
If your proposed pay is at the lower end of the range, ensure there’s enough justification to avoid complications during assessments.
The changes to AEWV in March 2025 put employer accountability front and centre. By requiring employers to meet or exceed market rates, New Zealand ensures fairness for its workers while making room for skilled migrants who truly add value.
For both employers and migrant workers, understanding and respecting the market rate isn’t just a box to tick—it’s a way to create fair opportunities and sustainable economic growth for everyone involved.
Vandana Rai is a Senior Licensed Immigration Adviser and has built a reputation around her rare set of skills, which could be considered ideal for her legal profession.