Business owners in New Zealand are deeply concerned falling immigration in the country is causing a huge labor shortage resulting in workers to overwork.
New Zealand is facing compounding labor shortage problem as the country's net immigration keeps falling and for the first time since 2016, New Zealand central bank cut interest rates as the economy took a huge hit from the persisting plunge.
An employer explained how difficult it is to get workers into the country. He said he expected two overseas workers that he wanted to add to his group they have obtained work visas weeks ago but has not happened without any reason given for the delay.
Stubborn work visas
Since Prime Minister Jacinda Ardern came into office, getting work visas has become very difficult and takes longer, business owners lamented.
Overheating housing market and strained infrastructure in NZ led Ardern to promise significantly lower annual immigration and cap on foreign homebuyers when he was elected in 2017.
With unemployment at 4.2% in the country, experts say the labor shortage is industry specific. Sectors such as hospitality, construction, and agriculture are particularly affected with New Zealanders not wanting the jobs or lacking the expertise required. The great effect felt by the whole economy as a result of the labor shortage in these sectors is not strange because much of New Zealand's growth comes from them.
Ardern's government continued the tightened restrictions on work visas from the previous government and tightened rules for temporary worker visas
Immigration Minister Iain Lees-Galloway also expressed his concern about visa delays and stated he is continuously in touch with Immigration New Zealand
regarding efforts to improve the processes. He, however, emphasized the government is doing all it can to ensure New Zealanders are first considered for jobs in the country, and the government is putting vocational training in place to train them.
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