Businesses Face Reduced Hours Due to Work Visa Delays.
Many businesses are cutting back their hours or even closing temporarily because of significant delays in obtaining work visas. Employers express frustration and anxiety as they wait for approvals, leaving new employees uncertain about their financial stability.
Gaetano Arico, the owner of Stefanos Pizzeria in Nelson, has been waiting for months to receive work visas for his staff. As a result of being short-staffed, he is forced to close the restaurant one day a week and limit morning service. “People want pizza, but they can’t get it because we’re closed,” Arico stated. He criticized the current visa application system, describing it as complicated and inadequate. “It’s a crazy situation. You need to prove your financial stability to employ someone, but how can you do that when you’re losing money because you can’t hire staff?”
The delays have placed Arico in breach of contract with the cinema complex where his restaurant is located, and he worries for the job security of his remaining employees. Another local business has also had to shut down while waiting for visa approvals.
Hannah Blackwood, director of Heyday Beer, a craft brewery and bar on Wellington’s Cuba Street, applied for a visa for a sales manager in May. The ongoing delays have severely impacted her business, costing it tens of thousands of dollars each month and causing stress and mental health issues among existing staff. “No one might have a job at the end of this. We might need to close due to lost revenue,” Blackwood said. She reached out to Immigration New Zealand (INZ), highlighting the importance of the position and the strain on her team. “Without this role filled promptly, we could close, putting all staff at risk of losing their jobs.”
Blackwood described her difficulties in contacting her immigration case officer. The initial visa application was rejected due to a mistake regarding the advertising requirements for the position. Current processing times at INZ are about seven months for job checks and visas, plus an additional three months if the employer is not accredited.
Her new employee, who has been in New Zealand for five years on an essential skills visa, is currently unable to return from Canada for a wedding, raising concerns about his future in New Zealand. “He’s going through a rough time. He’s still paying rent and other expenses in New Zealand, but he only has a week’s worth of clothes with him,” she explained.
Hospitality New Zealand reports that it hears similar concerns from businesses nearly every day. Sam McKinnon, the head of communications and advocacy, noted that many workers are losing patience. “Some skilled staff are leaving New Zealand because they feel they have no choice but to move elsewhere while waiting for their visas,” he said.
Immigration advisor Tobias Tohill emphasized that the crisis is affecting not just the hospitality sector but also broader economic growth. “Even larger companies are reconsidering renewing their accreditations or hiring new staff due to these delays,” he said. He added that even small changes could allow workers to continue working while waiting for visa approvals. “Skilled workers are looking at better options abroad. The rising application fees and complex processes make it difficult for both employers and migrants.”
Currently, many migrants rely on savings or support from family, but Tohill argued that a minor adjustment in the system could enable workers already in New Zealand to gain interim work approval while transitioning from other visas.
The accredited employer work visa (AEWV) process has three stages, with more stringent checks implemented after past issues with fraud and exploitation. INZ head Alison McDonald acknowledged the lengthy processing times and stated that improvements are underway. “We are not proud of the current wait times—11 weeks for employer accreditation, 12 weeks for a job check, and up to four months for a work visa,” she admitted. “We are actively working to improve these timelines and processes to provide better support for our teams and the businesses relying on us.”
McDonald emphasized that processing work visas is a top priority for the agency, and recent efforts to group similar professions and employers in the application process have shown early signs of improvement.
Related topics:
- Tree of Life Synagogue Massacre Was Driven by Immigrant Rights Issues
- Elon Musk: An Illegal Migrant Worker Who Misused His Student Visa
- Farm Communities Divided Over Proposed Immigration Raids
