Government Gives Certainty to Fruit and Wine Growers

“Our viticulture and horticulture industries have today been given a huge boost to ensure their continued success by improvements to the Recognised Seasonal Employer (RSE) policy,” says Dr Jonathan Coleman, Minister for Immigration.

“These improvements are designed so that industry can meet labour demands during the peak harvest season. These are important measures given the productivity assurances they provide for key New Zealand industries.”

Dr Coleman announced the following measures today:

1. A new type of work permit, the Supplementary Seasonal Employment (SSE) Permit.
2. Amendment of RSE policy to ensure that the rules for deductions from RSE workers’ wages are the same as those for New Zealanders.
3. A requirement for employers to arrange health insurance for their workers and for RSE workers to pay for health insurance while in New Zealand.

The SSE work permit will provide extra labour at peak harvest times. Like RSE, SSE will be labour market tested to ensure that New Zealanders are first in line for jobs. To apply for a SSE work permit, the workers would need to be already in New Zealand lawfully. SSE permits will be valid for six months and will allow workers to move from one approved SSE employer to another.

“The SSE policy will assist the horticulture and viticulture industries to meet their demand for labour only where there are no suitable New Zealanders and they are unable to get sufficient numbers of workers through the RSE scheme. The onus will be on the employer to ensure no suitable New Zealanders are available to do the work.”

Another important amendment to RSE policy will be a requirement that workers hold current health insurance. This is the best means of ensuring that RSE workers have access to healthcare while costs to the New Zealand taxpayer are minimised. Employers will be expected to arrange (but not pay for) health insurance that meets the minimum requirements.

“The improved RSE policy is specifically designed to meet the high seasonal needs of the horticulture and viticulture industries, while bearing in mind that Kiwis are first in line for jobs,” says Dr Coleman.

Questions and Answers on RSE changes

Why is the government introducing a new seasonal employment policy?

When there are no available New Zealanders or RSE workers, there is a need for another flexible seasonal policy for the viticulture and horticulture industries. In effect, it is a flexible top-up policy.

Will New Zealanders still be first in line for jobs?

Absolutely. The Department of Labour works closely with Work and Income in each horticulture/ viticulture region to ensure any demand for labour is met in the first instance by suitable and available New Zealanders. In cases where New Zealand workers are not going to be available, employers can apply to recruit under the RSE scheme. If the Department of Labour and Work and Income agree that employers are still unable to meet their demand for labour they will be able to apply to top up under the SSE scheme.

What are the arrangements around health insurance?

Previously health insurance has not been compulsory for workers. This means some workers have been covered for healthcare costs because they are not eligible for publicly funded healthcare in New Zealand. The new policy will mean employers will have responsibility for making sure RSE workers are covered, but workers will be expected to bear the costs.

Why is the government making changes to RSE policy allowing for deductions to be made from workers’ wages?

This change is being made to ensure that the rules for deductions from RSE workers’ wages are the same as those for New Zealanders. This will make life simpler for employers and employees and will provide greater transparency to all parties. In order to ensure that deductions meet legal minimum standards, and that workers are aware of the deductions that will be made before accepting employment, the Department of Labour will require all deductions to be declared by the employer as part of their application to recruit RSE workers. Employers will also be subject to audit by dedicated labour inspectors.