Update to Recognised Seasonal Workers accommodation costs from August

Changes to accommodation costs for Recognised Seasonal Workers come into effect from 18 August.

From 18 August 2025, Recognised Seasonal  Employers (RSEs) will be able to increase weekly accommodation costs for workers by up to 2.5%, including both rent and utilities, to reflect rising costs.

Any deductions must remain actual, reasonable, and verifiable. The 2.5% increase will apply to new Agreement to Recruits (ATRs) as of 18 August 2025.

RSE employers cannot change the accommodation deduction rate for ATRs that were already approved prior to 18 August 2025.

Employers who submitted ATRs before 18 August 2025 that have not yet been decided can send amended deduction forms to the RSE Unit and apply the 2.5% increase.

This change follows a temporary increase introduced in September 2024, which is expiring on 1 September 2025 and is part of our ongoing efforts to improve conditions for RSE workers while supporting employers to meet their obligations.

The 2.5% increase is an interim measure and reflects the March 2025 annual consumers price index (CPI) increase.

The Ministry of Business, Innovation and Employment (MBIE) is working closely with industry and Pacific representatives to develop a permanent approach to accommodation that reflects shared goals that support the objectives of the RSE scheme.

Employing workers through the RSE scheme