In move2nz’s July newsletter I pointed out some of the dramatic changes I had noticed in the selection of applications made by the department under the Skilled Migrant Category and promised to explain more.
Below is a copy of a letter I sent to the Minister of Immigration Dr. Jonathan Coleman on July 20th which fully explains my concerns. I’ll let you know what I get back.
Dear Dr. Coleman,
Re: Skilled Migrant Category
I have a number of questions relating to selections of applications made under the Skilled Migrant Category of New Zealand’s Residence programme and, rather than speculating on reasons behind perceived policies and changes, I would be very grateful if you could provide information on the following.
Most recent selections
I notice from the immigration department website statistics that the number of applications selected from the pool on 13 July 2011 (764) was significantly higher than the averages seen through 2009/10 and 2010/11 (604 and 561 respectively). In fact this was the largest selection made since 6 May 2009.
1. Can you advise why the number of applications selected has increased?
2. Can you confirm if this marks a move from policy applied since January 2010 to select approximately 550 applications each fortnight?
Within each selection made there is a majority percentage which claim points for a suitable job or job offer in New Zealand. I note that for the two most recent selections (made from the pool on 30 June 2011 and 13 July 2011) 91% of the applications included claim points for employment marking a significant increase in a percentage measure which has been largely unchanged for some time (certainly between 1 January 2009 and 15 June 2011 the average percentage of applications in each selection falling into this group was 71%).
3. Can you confirm if there is any specific reason why such a high number of applications selected over the past month include points for New Zealand employment?
4. Can you confirm if this percentage marks a change in policy or practice relating to the Skilled Migrant Category?
5.Can you confirm if this percentage is expected to be maintained or increase?
Within each selection made there is also a majority percentage of applicants making their application from within New Zealand (onshore) rather than outside New Zealand (offshore).
I note that the three most recent selections (made from the pool on 15 June 2011, 30 June 2011 and 13 July 2011) have included the highest percentages of applications made onshore since at least 1 January 2009 – increasing through 81%, 82% and 86% respectively.
Again this marks an increase in a percentage measure which has been largely unchanged for some time (between 1 January 2009 and 15 June 2011 the average percentage of applications in each selection falling into this group was also 71%).
6. Can you confirm why such a high percentage of applications made from within New Zealand were selected over the past 6 weeks?
7. Can you confirm if these selections mark a change in policy or practice relating to the Skilled Migrant Category?
8. Can you confirm if this percentage is expected to be maintained or increase in future SMC selections?
Applications selected under the SMC
As immigration department statistics confirm, from January 2010 the number of applications selected from the pool under the SMC each fortnight fell from an average of 705 in the year to December 2009 to an average of 556 in the year to December 2010. Numbers through the first half of 2011 have risen slightly to an average of 562. I also understand that the SMC quota has been reduced from 27,000 – 30,000 to 25,000 – 27,000.
9. Can you advise why the SMC quota was reduced from 27,000 – 30,000 down to 25,000 – 27,000, a drop of 10% of the maximum number?
10. Are any further changes to the SMC quota planned?
11. Are any changes to the SMC selection criteria planned?
12. How has the reduction in numbers being selected since January 2010 affected those with applications in the pool claiming 10 points for a qualification in an area of absolute skill shortage?
13. How has the reduction in numbers being selected since January 2010 affected those with applications in the pool which did not claim points for offers of skilled employment or current skilled employment in New Zealand, work experience in an area of absolute skill shortage or for a qualification in an area of absolute skill shortage?
14. As the overall Residency quota (including the family reunifications and humanitarian streams) has not decreased how is this reduction of the SMC expected to affect the other streams.
15. Is there any planned change to the overall Residency quota?
Percentage of applications selected and then declined
I notice from the Immigration department statistics presented through their website that the percentage of applications accepted through the Skilled Migrant Category (SMC) that are subsequently declined has continued to rise year on year, reaching 16.3 percent in 2010/11.
|SMC Applications declined||6.7%||8.7%||9.8%||10.4%||14.4%||16.3%|
16. Can you please confirm why the percentage of applications selected under the current points system being subsequently declined is increasing year on year, almost doubling in 4 years?
17. Arguably the increase in applications which are selected and subsequently declined suggests a failure in the selection process, are any changes to policy or practice are planned to address this problem?
18. Is the percentage of selected applications which are subsequently declined likely to continue to increase as it has done for the past five years?
Statistics from the immigration website confirm that applications representing 30,665 individuals were selected in 2010/11. As I have pointed out, through the 2010/11 year the percentage of selected applications that were then declined hit 16.3% leaving just 25,666 individuals obtaining Permanent Residency through the SMC in 2010/11. If the current pattern continues further increases in the percentage of applications being declined could easily cause the department to fail to meet the minimum SMC quota.
19. With numbers approved Residency through the SMC falling to within 2.6% of the minimum quota what actions will be taken to ensure numbers do fall below the minimum quota in 2011/12?
20. Are you concerned that the number of individuals gaining Residency through the SMC is only 2.6% higher than the minimum quota?
Reduction in applications approved under the SMC
Arguably as a direct result of the combination of the reduction in SMC applications being selected each fortnight from January 2010 and the percentage increase in the number of those applications subsequently declined the number of applications approved for Permanent Residency under the SMC through 2010/11 was significantly lower than in the previous year.
According to statistics obtained from the immigration website 5,440 less SMC applicants obtained Residency through the SMC in 2010/11 compared to 2009/10, a drop of 20.4%.
21. Why has the number of skilled migrants obtaining Permanent Residence in New Zealand been reduced in this way?
22. How was this reduction expected to impact skill shortages in New Zealand and New Zealand employer’s ability to source skilled permanent foreign staff when no New Zealanders are available?
23. What impact has this reduction had on skill shortages in New Zealand and New Zealand employer’s ability to source skilled permanent foreign staff when no New Zealanders are available?
24. Do you consider that long term skill shortages in New Zealand are being effectively met through the SMC?
25. Do you have any intention of adjusting the number of temporary work visas to balance the reduction made in the SMC?
26. Is this cut to skilled migration through the SMC expected to continue or increase?
Thank you for your assistance with these questions, I appreciate your assistance in clarifying these matters.