Requirements for controlling third parties and franchisees

It is your responsibility to tell us which accreditation your business needs.

Check if you can apply for AEWV employer accreditation and what type

Franchisee accreditation closed on 16 June 2024. You can no longer apply for this type of employer accreditation.

If you currently have franchisee accreditation, you can remain on this accreditation type until it expires. You must meet your employer requirements while you have this accreditation type.

You can change to a standard, high-volume or triangular employer accreditation when you apply to renew your accreditation.

Triangular employer accreditation is for New Zealand businesses who place migrants with controlling third parties while being the direct employer named in the employment agreement. 

A triangular employment arrangement involves 3 parties:

• the employee
• the direct employer — who has the employment agreement with the employee and places them with the controlling third party
• the controlling third party who directs the day-to-day work of the employee.

A controlling third party:

• is a separate legal entity to the direct employer named on the AEWV worker's employment agreement
• has an arrangement or contract with the employer that lets its employees perform work for the benefit of the controlling third party, and
• can direct or control those employees as if they are the direct employer.

Examples of employers who are able to apply for triangular employer accreditation and place people with controlling third parties include:

• labour hire companies
• employers who send migrant workers on secondment to a controlling third party
• parent or umbrella companies placing migrant workers with a third party, like a subsidiary company or branch that is a separate legal entity.

Controlling third party — New Zealand Legislation

If you are a triangular accredited employer who uses controlling third parties, you must have a good system to monitor their employment and safety conditions.

You must:

• respond appropriately to issues raised and identified that affect AEWV workers, and
• only place AEWV workers with compliant controlling third-party businesses.

A compliant controlling third-party business must:

• not be on the Employment stand-down list
• declare they are not subject to an Immigration stand-down or permanent ban
• declare they are not aware of any immigration issues that would prevent them from being an accredited employer themselves.

Employers on stand-down — Employment New Zealand

Immigration stand-down list 

You must keep employment records

You must keep records for the AEWV workers you have placed with controlling third parties, including:

• the controlling third party's business name
• start and finish dates
• the working locations
• hours paid, and
• hours worked (this includes hours for salaried AEWV workers).

You must not place AEWV workers with another controlling third party

If you place an AEWV worker with a controlling third party, then move them to another controlling third party, you may:

• be sent an infringement notice and fee, and 
• have your accreditation suspended or revoked.

We may revoke your accreditation if we decide you no longer meet AEWV employer accreditation requirements.

Guide to post-accreditation checks for AEWV accredited employers

Meeting your AEWV employer accreditation requirements

Before you place the AEWV worker 

You must see evidence that the third party has:

• processes to prevent and address workplace bullying, including a complaints process for AEWV workers to report bullying and a process to address and fix any issues reported
• processes to assess and prevent risk, including a risk register
• health and safety induction
• complaints and disputes resolution process.

You must also provide:

• third parties with information about the AEWV worker's visa conditions and terms and conditions of employment
• AEWV workers with a complaints process and guidance to report issues directly to you.

Employer stand-downs and permanent bans

There are specific Immigration Act 2009 and Crimes Act 1961 offences that can lead to a stand-down period or permanent ban.

You must:

• check the third party has an NZBN and is not on the Employment stand-down list for breaches of employment standards
• get agreement between you and the third party that Immigration New Zealand will carry out a site visit and that the third party agrees to keep records it will give to you.

You must also get declarations from the controlling third party that:

• it or its key people are not subject to a stand-down period or permanent ban for specific Immigration Act or Crimes Act offences, and it will inform you if it is prosecuted for any such offences after AEWV workers have been placed
• its key people are not currently included on the Employer or Immigration stand-down lists or have cases pending against them for employment or immigration breaches before AEWV workers are placed
• it does not require or force AEWV workers to work hours inconsistent with their visa conditions
• the terms and conditions of AEWV workers' employment meets with health and safety standards.

These measures are required for every controlling third party you place an AEWV worker with.

Ongoing checks

Once the AEWV worker is placed with a controlling third party, you must contact them either:

• once a fortnight for the first 2 months of placement, then at least once a month, or
• more frequently where appropriate, for example where placement is for less than a month, or where there is a dispute or a complaint that is being fixed.

You must carry out site visits:

• once every 6 months, or
• less frequently or not at all if the likelihood of the third party breaching requirements is low.

You must investigate and deal with employment and safety issues. This may include:

• working with the controlling third party to fix issues, or 
• removing AEWV workers from the controlling third party.

You must fix issues by:

• getting external help for issues that cannot be fixed, and 
• reporting significant breaches to the relevant authority, for example Employment New Zealand, and Immigration New Zealand. 

In some situations, you may need to remove AEWV workers from the controlling third party.

Our employer helpline is open between 08:00 and 18:00, Monday to Friday.

Freephone from New Zealand landlines: 0508 558 855