Following in the footsteps of Spain and Portugal, another country has amended its immigration laws in order to increase worker intake in the face of a labour shortage. New Zealand, which is experiencing a labour shortage, has made temporary changes to its immigration policies. It intends to hire 12,000 people over the next year. It is also considering a working holiday programme to help fill labour shortages.
New Zealand is experiencing a labour shortage, leaving businesses scrambling to find workers and driving up wages. This is also making it difficult to fight inflation, as the central bank raised interest rates to their highest level since September 2015. Immigration Minister Michael Wood stated that the changes to the immigration law are intended to provide ‘immediate relief to those businesses hardest hit by the global worker shortage,’ and the holiday scheme will double the intake of workers.
New Zealand will relax wage rules for skilled migrants working in industries such as construction and infrastructure, meat processing, seafood, adventure tourism, and elderly care. Wood stated that visas for some onshore working holidaymakers will be extended by six months in order to keep workers in the country. In reference to the global trend, the minister stated, ‘New Zealand is not alone in this’. In the second quarter, the country’s unemployment rate was 3.3%, while wages increased 3.4% year on year, the fastest increase in 14 years.
Meanwhile, Portugal changed its immigration laws to combat labour shortages in a variety of industries. The new law includes provisions for digital nomads as well as a 120-day temporary visa that can be extended to 60 days for foreigners seeking to work in Portugal. It also amended its legislation to allow for the recognition of foreign driver’s licences. Spain, too, has made it easier for foreigners to obtain work permits by enacting new measures such as lowering work permit application requirements.
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