Green-light for 3000 more migrant workers to ease labour shortage

The Government has unveiled plans for the largest increase in seasonal migrant workers in more than a decade, in an effort to ease the worker shortage in the horticultural sector.

The new RSE cap will allow an additional 3000 workers into the country - taking the total available to 19,000 workers annually from participating Pacific countries, providing workforce relief to the horticulture and wine sector.

"The additional 3000 places is a 19 per cent increase on the previous season, and acknowledges the industry's current needs based on strong growth, and the lower number of working holiday makers onshore right now," Immigration Minister Michael Wood said.

"We are listening to industry, and worked closely with horticulture and wine sectors to ensure we strike the right balance by incentivising local employment, bringing in further additional workers, and also requiring working conditions to be improved."

The new allowance does come with new conditions for employers with RSE workers to receive access to sick leave and employers committing to provide transparent, clear information and independent support for the workers.

New Zealand's wine and kiwifruit growers have welcomed the Government increase in the cap for RSE workers, saying it will go some way to easing a critical labour shortage in their sectors.

The availability of skilled seasonal workers continued to be a critical concern for many growers and wineries in the $2 billion export wine industry, and the easing of the cap would allow the sector to plan with more certainty to meet seasonal work peaks, said NZ Winegrowers chief executive Philip Gregan.

The $3 billion kiwifruit industry said the relief would go some way to support the labour supply for the preparation and harvest of the 2023 crop.

NZKGI, the organisation representing growers, said it had been working with the Government, alongside other horticulture and viticulture sectors, on the RSE issue.

Chief executive Colin Bond said RSEs were a skilled and reliable workforce which increased the productivity of the horticulture industries and were able to fill shortfalls where there were not enough New Zealanders available.

The new cap was settled on a tri-partite basis for the first time ever, with both employer groups and unions at the table, enabling a discussion about both the number of workers, and how New Zealand can ensure good employment practices, Wood said.

That was in addition to the pre-existing minimum wage requirement of $22.10, which we introduced during the pandemic, he said.

"We continue to work urgently with the industry and unions on further short-term improvements and employee safeguards to provide greater protections to workers. This work is in addition to our wider policy review to improve the RSE scheme for workers, as previously signalled."

Speaking to media following the announcement, Wood said the Government was due to reveal more measures to protect against migrant exploitation later this week.

Asked if the RSE scheme was akin to "modern-day slavery", Wood said groups had come together to ensure workers had better conditions and that there was a suitable standard in place.

Measures that included a roving workplace rep were under discussion and there was a "robust regime", he said.

Prime Minister Jacinda Ardern warned that with more workers there came "more responsibility".

The organisation that represents New Zealand's $6 billion-plus horticulture export sector said it was keen to work with the Government on a substantive review of the RSE scheme to ensure that it is fit for purpose.

Welcoming the Government announcement that the cap on the RSE scheme is to be lifted to 19,000, providing 3000 more worker places, HortNZ chief executive Nadine Tunley said the Beehive announcement would give growers confidence to continue to invest as they went into the 2022-2023 harvest season.

"'We want to build on the past 15 years and ensure the ongoing success of the scheme in a post-Covid world," Tunley said.

The ACT party described the move "as too little too late."

"The sensible policy change would have been to remove the cap on the number of RSEs completely, like Australia's scheme," said ACT Immigration spokesperson James McDowall.

"The RSE scheme is a win-win-win for the primary industries, our pacific friends and neighbours, and New Zealand's geopolitical aims of a more united and democratic pacific. The only problem with it is successive Governments' insistence on capping the number of people who can come to New Zealand under the scheme."

-Additional reporting Andrea Fox