Minimum wage changes employers need to be ready for

From 1 April 2026, New Zealand’s adult minimum wage will increase to $23.95 per hour, up from the current rate of $23.50. The training and starting-out minimum wages will also rise to $19.16 per hour, remaining at 80 percent of the adult rate.

For employers, this change has implications not only for payroll, but also for visa compliance where migrant workers are employed on, or close to, the minimum wage.

How this affects migrant workers and visa applications

For any work visa application that includes a job offer lodged on or after 1 April 2026, the pay rate stated in the job offer must meet or exceed the new minimum wage. This includes applications under the Accredited Employer Work Visa (AEWV).

Where a migrant worker is currently employed on the minimum wage, employers will need to ensure that:

• the worker’s pay is adjusted by 1 April 2026
• employment agreements reflect the updated rate
• any new or pending visa applications meet the new threshold

Applications that do not meet the minimum pay requirement at the time of lodgement risk being declined, even where the role and employer would otherwise be eligible.

Why this matters for employers now

While the wage increase itself is modest, the compliance impact can be more significant if not addressed early. Immigration New Zealand assesses visa applications against the pay rate in place at the time the application is submitted, not when the role was originally offered.

For employers with multiple migrant workers, particularly in roles close to the minimum wage, this change may affect:

• the timing of AEWV applications or renewals
• workforce budgeting for the year ahead
• role design where pay rates sit close to the threshold

This is especially relevant for businesses planning recruitment or visa renewals around March and April.

Being ready ahead of 1 April

Employers can reduce risk by reviewing:

• which migrant workers are currently paid at or near the minimum wage
• whether upcoming visa applications fall after 1 April 2026
• whether employment agreements will need to be updated

Addressing these points early helps avoid last-minute changes that can delay applications or create compliance issues.

If you would like to talk through how the minimum wage increase may affect your current or planned hires, our advisers can help you understand what needs to be adjusted and when.

‍