Immigration Alert: Removal of 90-day trial periods

From late October 2023 accredited employers will need to commit to not using 90-day trial periods for Accredited Employer Work Visa (AEWV) holders.

90-day trial periods

A 90-day trial period can be used by employers to determine whether a new employee is suitable for the role.  An employer has the ability to dismiss the employee during the first 90 days and the employee is prohibited from raising a personal grievance in relation to that dismissal.

Under New Zealand employment laws, only employers with 19 or fewer employees can currently use a 90-trial period.  Given the recent election results, we may see this extended to all employers regardless size.

How does the apply?

From 29 October 2023, employers cannot use a 90-day trial period when hiring people on an AEWV.  This new commitment will be made by employers submitting Job Check or Accreditation applications.

Importantly, any Job Check under assessment when the change took effect may also be declined if it includes a trial period, regardless of submission date.

This new 90-day trial rule will not apply to:

• Already-approved Job Checks, and
• Migrants who already hold, or have applied for, an AEWV.

Our advice

If you regularly recruit workers under the AEWV scheme it may be helpful to have two sets of employment agreement templates: one for migrant workers and one for New Zealand citizens or residents.

Want to know more?

If you have any questions about the case or the topics discussed in this article, please contact our specialist Employment Team.

PDF version here.