New Zealand AEWV: Understanding the Market Rate of Pay for Smooth Visa Approvals

New Zealand AEWV: Understanding the Market Rate of Pay for Smooth Visa Approvals

With the transformative changes to the New Zealand AEWV (Accredited Employer Work Visa) scheme implemented in March 2025, ensuring compliance with the market rate of pay is no longer optional, it is imperative. As licensed immigration consultants, we offer a detailed and practical breakdown of how the market rate affects visa approvals and what employers must do to meet the new standard.

The Market Rate of Pay: A Legal Benchmark for Fairness

The market rate of pay refers to the prevailing wage that New Zealand employers typically pay to local citizens and residents for comparable work. This benchmark ensures migrant workers are not underpaid, protecting both the local labor market and the integrity of New Zealand’s immigration framework.

According to Immigration Instruction W2.2.15, a job offer must reflect what a New Zealand worker would reasonably expect for the same duties, in the same location, and within the same industry.

Key Change: Median Wage No Longer a Blanket Standard

As of March 2025, the median wage is no longer the default baseline. Immigration officers now conduct nuanced, job-specific evaluations. Employers must provide clear, data-backed evidence that the offered salary meets or exceeds the true market rate, not just a national median.

This requires a shift from generalized pay bands to granular, occupation-specific analysis, which brings both flexibility and heightened scrutiny.

How Immigration New Zealand (INZ) Assesses Market Rate Compliance

Immigration officers rely on a tiered methodology based on data quality and consistency:

1. Single Source Assessment

When a credible and current dataset exists, officers may use a single trusted source such as:

  • Seek Salary Guide
  • Hays Salary Guide
  • Hudson Reports

Example:

A job for a Logistics Coordinator in Auckland offers $68,000. Seek Salary Guide shows recent roles averaging $65,000–$72,000. This falls within the acceptable range, and no further justification is needed.

2. Multiple Source Assessment

When data is inconsistent or outdated, officers cross-reference various sources:

  • Seek & Trade Me Jobs
  • Industry-specific salary surveys
  • Recruitment agency data
  • Union recommendations
  • MBIE labour reports

A consistent average must be established through triangulation of data. Discrepancies must be explained in the job check application.

Dealing With Outdated or Conflicting Salary Data

Older datasets such as those from Careers NZ (2018) often lack reliability due to limited sample size and stale reporting. When discrepancies exist:

Source Year Range Reliability
Careers NZ 2018 $47,840–$62,400 Low
Seek Guide 2024–25 $60,000–$70,000 High

Immigration officers will prioritize:

  • Recency
  • Sample size
  • Source transparency

This ensures fair, consistent decisions that reflect real-time labor market conditions.

What Happens If Market Rate Is Not Met

If the proposed salary falls below the market rate:

  • Minor discrepancies may trigger requests for justification.
  • Significant gaps will result in PPI letters (Potentially Prejudicial Information).

Employers must respond with:

  • Justification of pay structure
  • Comparative job descriptions
  • Proof of recruitment efforts

Failure to adequately respond may lead to job check denial and visa rejections.

Related article: New Zealand Interim Visa Changes 2025: What AEWV Applicants Must Know

Pay Ranges: Compliance Must Apply to Entire Band

When proposing a pay range, the lowest figure must meet or exceed the market rate.

Example: If the market rate for a Mechanical Engineer is $85,000–$95,000, offering $80,000–$95,000 is non-compliant, even if the top end is acceptable.

Key Rule: No future pay promises are considered. Compliance is assessed at the time of Job Check.

Practical Checklist for Employers

To remain compliant and avoid visa processing delays, employers must implement the following:

1. Use Reliable Salary Data

  • Seek, Hays, Trade Me Jobs, and industry surveys
  • Prioritize 2023–2025 data
  • Ensure regional and job-specific relevance

2. Document Salary Justifications

  • Keep screenshots and links to source data
  • Record job ad performance and wage feedback

3. Specify Pay Transparently

  • Declare exact pay or range in job offer letter
  • Ensure lowest end of range meets market rate

4. Prepare for Scrutiny

  • Have defensible rationale for any deviation
  • Be ready to respond to a PPI letter within strict timelines

Industry-Specific Pay Trends in 2025

Occupation Average Salary (2025) Reliable Source
Storeperson $60,000–$70,000 Seek
Software Developer $95,000–$130,000 Hays NZ
Registered Nurse $80,000–$90,000 Trade Me Jobs
Mechanical Engineer $85,000–$95,000 Engineering NZ
Construction Project Manager $110,000–$140,000 Seek

Use these benchmarks for crafting job offers and planning workforce strategies.

Consequences of Non-Compliance

Failure to align with market rate expectations can lead to:

  • Job Check denials
  • Delayed visa processing
  • PPI investigations
  • Reputational damage with Immigration NZ
  • Revocation of Accredited Employer status

Conclusion

We strongly advise all accredited employers to proactively align job offers with documented, verifiable market rates. This not only facilitates smoother visa processing but upholds the principles of fairness and sustainability in New Zealand’s workforce.

To protect your business and attract global talent responsibly, commit to transparent, data-driven remuneration practices in line with New Zealand AEWV standards for 2025 and beyond.

Need Professional Support?

At Immigration Chambers, we turn the complexities of the  New Zealand AEWV process into clear, achievable steps. We assist employers with:

  • Salary benchmarking
  • AEWV compliance audits
  • Job Check submissions
  • PPI responses

Reach out today to our Immigration Adviser New Zealand for a customized immigration compliance consultation.