Increase in Recognised Seasonal Employer (RSE) Scheme Cap

November 7, 2024

The Recognised Seasonal Employer (RSE) scheme, launched in October 2006 and implemented in April 2007, was created to help the horticulture and viticulture sectors fill seasonal roles with overseas workers when there aren’t enough New Zealand workers available.

Increase in RSE Worker Limit
The RSE scheme includes a yearly cap on the number of workers allowed. Initially, in 2007, it was set at 5,000; the limit cap has grown significantly since then in 2023-24 cap was 19,500. 

New Cap for 2024–2025:

  • Increased to 20,750 workers, up from 19,500 last season, an increase of 1250
  • Addresses employer demand while balancing New Zealand labour market needs and housing availability.

This expansion meets the industry’s demand for more workers while balancing the needs of the New Zealand labour market, anticipated workforce conditions, and housing availability.

Worker Recruitment
Employers (or their representatives) handle recruitment, visa processing, and travel arrangements for RSE workers. Only workers from specific eligible Pacific countries are recruited unless employers have pre-existing arrangements from before 2007. Eligible countries include Fiji, Samoa, Tonga, Vanuatu, and others.

The Ministry of Foreign Affairs and Trade (MFAT) collaborates closely with Pacific nations to support workers’ readiness in New Zealand.

Worker Requirements
RSE workers need to meet health and character requirements and show proof they will leave New Zealand at the end of their stay. They can stay in New Zealand for up to 7 months in any 11 months, with workers from Tuvalu and Kiribati eligible for up to 9 months due to travel distances.

Employer Obligations
Employers must apply to INZ for RSE status, demonstrating a strong financial position, solid HR practices, and a history of following immigration and employment laws. Employers are also expected to prioritise hiring and training New Zealanders in their industry. RSE workers must be paid a minimum of 30 hours per week, regardless of available work and at least the market rate for their jobs. Employment agreements must outline hourly rates, any piece rates, and minimum pay requirements. Employers must also pay for half of each worker’s return airfare (except for workers from Tuvalu and Kiribati).

Worker Welfare and Accommodation
RSE employers are responsible for providing suitable accommodation and facilities for their workers. Workers are expected to pay a fair rate for rent, utilities, and living expenses, and any deductions must be reasonable, verifiable, and only for actual costs. Since 2019, new rules limit the use of residential housing by RSE employers to reduce demand on public housing, with exceptions in regions where housing is less pressured.

Review of the RSE Scheme
The RSE scheme is undergoing a comprehensive review. The goal of the review is to establish policies that benefit both employers and workers, ensuring the scheme remains sustainable, protects workers’ rights, and encourages ethical employment practices. 

Reference- 

1.https://www.immigration.govt.nz/

2.https://www.mbie.govt.nz/

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