New Zealand’s latest wage changes are shaking things up for both local workers and migrants, bringing a mix of opportunities and challenges. With a small bump in the minimum wage but the removal of the required median wage for migrant workers on Accredited Employer Work Visas (AEWV), these updates could mean more flexibility for employers—but also potential pay cuts for some migrants. If you're working or planning to work in New Zealand, understanding these shifts is crucial to securing fair wages and maintaining visa eligibility. Here's what you need to know.

Main Wage Changes

1) Minimum Wage Increase – From April 1, 2025, New Zealand’s minimum wage has gone up from $23.15 to $23.50 per hour. Source

2) New Immigration Wage Policy – From March 10, 2025, Immigration New Zealand (INZ) removed the fixed minimum wage of $29.66 per hour for AEWV. Now, wages will match the market rate for each role and must be at least the new minimum wage. Source

What This Means for Migrant Workers and Employers

Before, migrant workers under AEWV had to be paid at least $29.66 per hour. Now, if the market rate for their job is lower, they can be paid as little as $23.50 per hour. That’s a $6.16 pay cut per hour, which might not seem like much, but it adds up. For example, if they work 40 hours a week, that’s $246.40 (gross) less each week. This could be enough to cover a whole week’s worth of groceries—things like rice, meat, vegetables, and other basics. It’s money that would have helped pay for everyday needs, making it harder to stretch their budget.

Another challenge lies in how the market rate is determined, especially when reliable job search platforms or recruitment sources offer conflicting salary data. Employers and immigration officers might both rely on trustworthy sources, but with varying dates or figures, it can create a bit of a standoff over what truly reflects the current market rate. In the end, the question becomes: which source should be considered the most accurate and fair when determining what employees should be paid? It’s like navigating a maze of numbers, where the "right" answer is anything but clear.

Good and Bad Sides of the Change

The recent changes in wages bring both good and tough news for different groups. For employers, the flexibility to set wages based on market conditions can help them stay competitive, but they might struggle with figuring out the right market rate during job check applications. For migrant workers, things are trickier. Lower wages could hurt their financial security, and it might get harder to renew their visas if their pay drops below what it was before—even if it still fits the market standard. Some workers might also worry if their job can still support their residence pathway or their family’s visas.

Some Things Migrants Should Watch Out For

• Family Sponsorship: If you have a family, make sure your wage meets the requirements to support partner and children visas.
• Skilled Migrant Category: A median wage of $31.61 per hour is still required to gain skilled work experience for ANZSCO skill level 1-3 roles under this visa category.
• Employment Advice: If there are major changes in your Employment Agreement, seek employment advice.
• Immigration Advice: If INZ questions your wage in a Job Check or AEWV application, consult an immigration lawyer or adviser on how to respond to the issue.