New Job Classification Systems: NOL for NZ, OSCA for Australia

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On October 8, 2024, New Zealand and Australia announced plans to introduce new job classification systems. New Zealand’s system will be known as the National Occupation List (NOL), while Australia will implement the Occupation Standard Classification for Australia (OSCA). These new frameworks will replace the joint Australian and New Zealand Standard Classification of Occupations (ANZSCO), which both countries have used for many years to categorize jobs.

Australia is set to release the first version of OSCA, called OSCA 2024, on December 6, 2024. According to Dr David Gruen, this change comes after many successful years of using ANZSCO, but both countries now have distinct job market needs that call for separate classification systems.

This shift was officially announced by the Australian Bureau of Statistics (ABS), showing that Australia and New Zealand are now moving toward customized job classification systems to better reflect their labour markets.

Transition Period

Immigration New Zealand has announced that there will be a transition period before fully adopting the NOL. During this period, ANZSCO will still be used for processing visa applications. The full switch to the NOL is anticipated by 2025, though updates and further information about the transition process will be provided as plans are finalized.

For the time being, the ANZSCO system will continue to classify jobs based on skill levels, ranging from level 1 for highly skilled jobs to level 5 for less skilled roles.

Key Dates

  • First Version Release: The first version of the NOL is scheduled to be released on November 20, 2024.
  • Submission Deadline: Submissions for the initial release of the NOL must be received by 5 p.m. on October 30, 2024. Any submissions received after this date will be considered for future updates.
  • Regular Updates: The NOL will undergo annual updates to reflect any necessary changes, ensuring the system stays relevant to the needs of the job market.

Why Is This Change Happening?

Statistics New Zealand and ABS decided to introduce new classification systems because the labour markets in both countries have evolved significantly since ANZSCO was first implemented in 2006. Maintaining a single classification system for both countries has become increasingly challenging as their needs and job markets have diverged.

Although New Zealand and Australia will each have their system, both countries plan to maintain a strong working relationship to ensure that the two systems remain comparable. Dr. David Gruen, Australian Statistician, and Mr. Mark Sowden, New Zealand Government Statistician, emphasized that even with the introduction of separate systems, economic analysis and skills recognition between the two countries will continue to align.

They also assured that tools will be developed to make comparing jobs between the two systems easier, allowing for smooth cross-border data analysis. This continued cooperation is vital for both countries’ economies and ensures that skilled workers can move between Australia and New Zealand without unnecessary barriers.

Impact of the New Classification Systems

According to Nirmala Murthy, Licensed Immigration Adviser and Founder of ICL Immigration, the new National Occupation List (NOL) in New Zealand and OSCA in Australia will significantly impact how jobs are classified and work visas are processed. The NOL will provide a better alignment between New Zealand’s immigration policies and the evolving needs of its labour market, making it simpler for employers and visa applicants to navigate the system.

While New Zealand and Australia are adopting different systems, the ongoing collaboration between the two nations will ensure smooth movement for workers and businesses across borders. This cooperation not only strengthens both countries’ economies but also opens up more opportunities for skilled workers.

Employers will likely find it easier to recruit talent, and visa applicants will benefit from a classification system more closely aligned with the realities of the current job market. For example, certain occupations that may not have fit well into the ANZSCO framework could be better recognized under the new NOL system, helping to streamline the visa process and support New Zealand’s economic goals.

Looking Ahead

The NOL is expected to bring about several positive changes, both for New Zealand’s job market and for the broader economy. Its regular updates will ensure that the system remains flexible and responsive to market trends and workforce needs. Additionally, the comparability of the NOL and OSCA will allow both countries to continue cooperating closely on labour issues, which is crucial given the economic ties between New Zealand and Australia.

This update to the job classification system is seen as a major step forward for both countries as they continue to adapt to the changing global workforce. Workers and employers alike can expect a smoother, more efficient process for hiring and work visa applications.

For more information about the NOL and its implementation, visit the Stats NZ website.

About ICL Immigration

ICL Immigration, based in Auckland, is a leading licensed immigration advisory service with over 20 years of experience and a 97% success rate. The firm has helped over 1,000 immigrants achieve their dream of living in New Zealand.

ICL specializes in various visa services, including nz work visas, residency, student visas, and business-related services such as employer accreditation. The company prides itself on its commitment to providing expert immigration advice and helping clients navigate New Zealand’s complex immigration system.

For more details about the NOL and its implementation, visit the Stats NZ website.

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