August 24 will see the introduction of the Red and Amber lists. This is in addition to the currently existing Green List. But confusingly, the traffic light classification refer to different pathways. This creates a strong sense of confusion.

Green List – this is in relation to Straight to Residence pathways. In short, INZ want more of these occupations.

Amber List – these are in relation to positions on the Skilled Migrant Category or Skilled Work Experience pathways. It is under a different frame work to the Straight to Residence pathway, and uses a different submission portal. In short, INZ is ambivalent about it.

Red List – these are restrictive positions and may only use the Skilled Migrant Category pathway. This means INZ is not that into it.

Why

These lists are designed to manage immigration risk and ensure the pathways remain targeted to genuine skill needs.

Occupations on the red list are not eligible for the 2 new pathways. People working in these occupations will only be able to apply for residence under the SMC if they can claim 6 points under an existing pathway. For example, migrants must either earn at least 1.5 times the SMC median wage, or hold a Bachelor’s (Level 7) qualification or higher, or hold a recognised occupational registration and have the required length of skilled work experience in New Zealand. 

It may be helpful to consider the Red and Amber Lists as being primarily labour market management tools, not assessments of an occupation's value or skill level. They are designed to control which occupations can access the new, easier residence pathways. In other words, there is a hierarchy of preference which is clear from the traffic light analogy.

The policy is best considered to be a reflection of the Green List. Instead of asking "Is this occupation in shortage?", the Government is asking: "Should people in this occupation receive an easier path to residence, or should they meet higher thresholds first?"

The overall structure

From August 2026 there are essentially three groups of occupations.

1. Occupations with unrestricted access to the new pathways

These occupations can use any pathway. Skilled Migrant Category, the new Skilled Work Experience pathway or the new Trades & Technician pathway.

These are occupations the Government generally believes have persistent skill shortages or are strategically important – listed on the Trades and Technicians List.

https://www.immigration.govt.nz/live/resident-visas-to-live-in-new-zealand/skilled-residence-pathways-in-new-zealand/skilled-migrant-category-pathway-to-residence/eligible-roles-for-the-smc-trades-and-technician-pathway-august-2026/

2. Amber List occupations

These occupations can still access residence through the Skilled Migrant Category or the Skilled Work Experience pathway, but only after satisfying what is in my opinion significantly tougher employment requirements.

For Amber List occupations, applicants generally need:

• at least 5 years of directly relevant experience obtained in New Zealand; and
• at least 2 years earning at least 1.2 times the SMC median wage

They cannot use the Trades & Technician pathway. This is reflected in the colour scheme, i.e. INZ/ government policy has clearly signalled that while New Zealand as a country still want these workers, the policy requires evidence such applicants have become established and valuable in New Zealand before granting residence.

3. Red List occupations

This is the most restrictive category. If an occupation is on the Red List then the applicant cannot use the Skilled Work Experience pathway or the Trades & Technician pathway. Only the Skilled Migrant Category is usable.

Why introduce Red and Amber lists?

This is the interesting policy question. For guidance, I have checked INZ's publicly available information which does give a fairly diplomatic explanation, namely that the lists are intended to manage immigration risk and keep the new pathways targeted. Sounds fair enough, but the practical impact appears to also achieve certain goals. Broadly speaking, there can be seen as split into half being protective and half into being population targeting. In essence:

Protective: manage risk of "residence shopping"

Some of these occupations have historically experienced either a rapid growth in AEWV numbers, especially between 2023 to 2026, a difficulty in having a clearly defined and consistent skill levels, high turnover, and sadly, occupations which have a high incident rate of having allegations of migrants taking roles primarily because they lead to residence. While the door isn’t completely closed, it is clear that the message is that working in these occupations alone should not automatically lead to residence.

Protective: prevent the potential abuse of creating artificial residence pathways

Some occupations are easier to recruit into than others. For example, the positions on the Amber List are currently in the hospitality space which does tend to have a lower bar to entry and higher variance in skill levels across the generic position. A level of assessment is fair to ensure that there is a proportionate management of residence criteria.

Strategic: Focus residence incentives targeting long-term skills shortages

The Government wants the easier pathways to reward occupations where New Zealand expects long-term shortages rather than temporary labour demand. This appears reasonable, and is consistent with the broader shift over the past few years toward targeting migration more selectively.

Strategic: Grow New Zealand human capital by encouragement of higher productivity

The purpose of migration is essentially to increase productivity. Rather than allowance of migration into lower-paid or more easily replaceable occupations, the policy is a clear targeted opportunity to nudge applicants toward the higher end, with higher qualifications, wages, or in positions that require professional registration with a licensing component, or in occupations that are harder to fill. This is a reasonable requirement for any country with a migration plan.

Can you still get residence if your role is on the Red and Amber lists?

Generally the application is still feasible. Just because the role is on the Red or Amber list does not mean game over. However, it is clear that there is a preference from the policy planning team, so I will not be surprised if any applicant on the Red list or Amber list find their application being given a form of extreme vetting. This may come in the form of repeated request for information, or more interviewing than is normally required. Residence status in New Zealand is highly valued, and it is the legal right of the government to ensure that it can select the right inhabitants. It’s worth noting that section 392 of the Immigration Act exists specifically to address this point.

The biggest implication is strategic and require early intervention. Migrants should now consider not only whether a job is "skilled," but also which residence pathway that occupation leaves open. Two occupations with similar pay and responsibilities may now offer very different timelines and evidence requirements for obtaining residence.

In my experience, the best time to start may be at the onset of the career choice. This means making certain decisions either at the commencement of education or even when an applicant is looking for that first job. A wise selection can mean the difference years down the track.