NEW ZEALAND ASSOCIATION FOR MIGRATION & INVESTMENT

For release: 3rd April 2007

Migration Consultants Fear Industry Could Be Driven Underground

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Migration consultants are concerned their industry would be driven underground if a proposal to impose levies on it becomes part of the Immigration Advisers Licensing Bill currently before Parliament.

"We have long advocated the licensing of all migration consultants and are delighted that the government is also now convinced of this need," says Bernard Walsh, Chairman of the New Zealand Association for Migration & Investment (NZAMI), which represents approximately 170 practitioners throughout the country.

"We are, however, concerned that the government has now added a Supplementary Order Paper (SOP) to the bill, which would apparently allow for levies to be imposed on consultants, above and beyond their licensing fees. We are also disturbed by the SOP's stated purpose, which is to ensure that the costs of the licensing regime can be recovered from those licensed.

"These proposals are both unrealistic and unjust. They are unrealistic because a substantial part of our industry, including lawyers, bankers and agents stationed overseas, has already been excluded from the licensing regime. The SOP would therefore place the burden of funding the regime, including the envisaged Appeals Tribunal, on, at most, 400 non-excluded consultants.

"Many of those requiring licensing are small-scale operators, including sole practitioners. A very large percentage of these could be forced out of business if required to pay more than, say, $1,000 per annum in fees. However, potential immigrants could still be expected to seek the services of an immigration agent. The result would almost certainly be a flourishing underground immigration industry, unregulated and prone to the very scams the licensing system is aimed at eliminating," he says.

Mr Walsh describes the SOP proposals as "unjust" because they would place the cost of achieving a public good upon the shoulders of a very small percentage of the population.

"Although the NZAMI has played a leading role in urging the adoption of a licensing system, immigration advisers would not, in their professional roles, be amongst the primary beneficiaries of this change. The greatest benefit would be to the immigrants themselves, who would enjoy a new level of assurance that their applications were being correctly handled.

"Licensing of agents would also provide a benefit to government, as it would raise the standard of applications, thus reducing the work that the New Zealand Immigration Service would need to perform in processing cases.

"Above all, licensing would be of benefit to New Zealand as a whole, by providing the type of fair, transparent and accountable immigration industry that would help attract the high quality immigrants our country needs.

"While the industry is certainly willing to contribute to these goals, we do not see why we should be the sole source of funding for a regime that is in everyone's interest," he says.

Bernard Walsh adds that the NZAMI will be voicing its concerns strongly to government and seeking some clarity as to the thinking behind the SOP.

Parliament is due to commence the second reading of the Immigration Advisers Licensing Bill today (Tuesday).

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