Skilled Migrant Policy 'Isn't Working'

February 6 2007 - A report from the New Zealand Association for Migration & Investment (NZAMI) argues that increasing skill shortages reinforce the need to revise work-to-residence rules applied to some skilled migrants. NZAMI has about 170 legal, financial and business members across New Zealand and is calling for an increase in the amount of time given to prospective migrants to find jobs and an easing of restrictions on the types of approved employment.

The report explains that six month work-to-residence visas were introduced under the Skilled Migrant policy in 2005, replacing two year visas. Migrants can gain residence if they are able to find and retain appropriately skilled employment for three out of the six months. Labour Department statistics show that in the half year to June 2006 only 19 people (3 per cent of those applying) were successful.

Bernard Walsh, chairman of NZAMI said:

"It's clear from these figures that the scheme, as currently constituted, isn't working for prospective migrants. We don't believe it's working for New Zealand either."

The report highlights the latest Quarterly Survey of Business Opinion by the New Zealand Institute of Economic Research that showed 29 per cent of firms were finding it harder to recruit skilled labour. Labour Department statistics confirm above average skill shortages in 2006.

Bernard Walsh commented:

"Under these circumstances, we really shouldn't be placing unrealistic barriers in the way of highly-motivated, skilled people who have given up their jobs and their homes to come here and work hard at building a future for themselves and their families.

"Many New Zealanders know from their own experience that it can take time and persistence to find appropriate work, even in a buoyant job market. The task is obviously far more taxing and time-consuming for newcomers, who might well experience initial difficulties finding their feet in their new environment. Our immigration policies need to take these realities into account."

The Association recommends that six month work-to-residence visas be replaced with visas valid for one year and argues that there would be no substantial associated risk, as migrants on the scheme have already been cleared for residence subject to fulfilling employment conditions. It also argues for relaxation of the requirement that approved employment must include significant managerial, specialist or technical expertise.

Bernard Walsh concluded:

"It's hard to imagine many employers offering senior positions, particularly with a managerial component, to people with short term work permits and no guarantee of residence. Furthermore, a rigidly formalistic concept of skilled employment will probably fail to reflect market realities at any given time.

"In recent years, our Skilled Migrant policy has become increasingly sensitive to the long term requirements of our economy and generally works very well. However, the policy's work-to-residence element provides an exception to this rule. We urge government to take an urgent look at making it more realistic, so that it can better serve New Zealand's needs, as well as those of the hard-working, skilled people our country needs."