Think you can't afford to hire overseas?

Last weekend the sun was shining, so my wife and I decided to go out for breakfast at a local cafe. We ended up talking to the owner and got onto the subject of finding and holding onto good staff in the current post-Covid climate.

The owner mentioned looking for staff offshore but said “I’ve heard it costs about $8,000 to get accreditation to employ overseas staff and I can’t afford that.” I don’t know who she had been talking to but I was staggered to hear that and subsequently sent her the following information. So for anyone else who thinks looking offshore for staff is too expensive or time consuming, think again. Here is what you need to know about accreditation. 

The accreditation process has been simplified this year.  It is now based on your declarations and automated checks by MBIE against publicly available information rather than submitting lots of supporting documents. It is largely a box ticking exercise.  Applications under the new process opened on 23 May 2022. 

The process as outlined on their website (https://www.immigration.govt.nz/employ-migrants/new-employer-accreditation-and-work-visa/accreditation-what-you-need-to-commit-to) is as follows:

1. Submit your New Zealand Business Number.

2. You must be registered as an employer with IRD.

3. You must be in a sound financial position (they won't ask for evidence as you have been operating for more than 12 months).

4. You declare you and your significant office holders have no recent history of regulatory non-compliance.

5. You commit to allowing migrant workers and those making recruitment decisions to complete specified online modules on employment rights.

6. You commit to paying all recruitment costs inside and outside of NZ.

7. You provide migrant workers with work-related settlement information and local community/services information.

8. You keep records of all the above for the duration of your accreditation.  

9. You pay the application fee ($740 for you). The accreditation is for an initial 12 months and then renewals will be for 24 months.  The actual process for getting approval for migrants once you are accredited is another process and you will need to pay for a job check approval for each position if going offshore - prove you are paying market rates, show the skills/qualifications you are seeking, offering standard employment terms and conditions and have advertised unsuccessfully within NZ.  This will cost you $610.

So if you are only looking at hiring one or two staff occasionally, this is a cost effective way of getting around the talent shortage. Assuming of course you can find what you need offshore!