Community Law Centres Aotearoa welcomes landmark court decision protecting migrant workers
Community Law Centres Aotearoa (CLCA) is welcoming a significant Employment Court decision that strengthens protections for migrant workers in New Zealand.
In July 2026 CLCA was represented as intervenor in an Employment Court case by pro bono barristers Jack Wass and Dhilum Nightingale, with pro bono support from law firm Smith Dunn.
This case addressed a core migrant exploitation problem regularly seen by Community Law: workers paying substantial “premiums” to secure New Zealand jobs. While such payments are unlawful in New Zealand under the Wages Protection Act 1983, the offshore location of the transactions had previously allowed this exploitative practice to continue. CLCA participated in the proceedings alongside intervenors from the New Zealand Council of Trade Unions and Workers First Union.
On 8 October 2026, the Employment Court released its decision in Labour Inspector v Top Produce Ltd [2026] NZEmpC 24. The Court confirmed that New Zealand’s ban on employment premiums applies even when payments are made overseas, as long as they relate to employment in New Zealand. This decision overturns an Employment Court ruling that had stood for more than 20 years and is an important win for migrant workers.
The Court found that employers should not be able to avoid New Zealand employment protections simply by arranging for payments to be made offshore. It recognised that modern forms of migrant exploitation can involve international recruitment networks, offshore payment arrangements, and debt burdens placed on workers before they arrive in New Zealand. The decision regarded this question of law only, and CLCA notes that the allegations in the underlying proceedings have not been tested in court. No party to this proceeding has been found to have breached section 12A. The substantive cases remain before the Employment Court.
The Court acknowledged the evidence and submissions provided by CLCA which described the frontline experience and expertise of Community Law Centres located throughout the country, as helpful in their understanding of the issue. The judgment also referred to excellent research on migrant exploitation prepared by barrister and Borrin fellow Dhilum Nightingale: https://www.borrinfoundation.nz/migrant-exploitation-in-aotearoa-new-zealand-improving-employer-accountability/
CLCA believes the decision will make it easier for migrant workers who have been charged unlawful recruitment fees overseas to seek redress and will help prevent exploitation in New Zealand’s labour market.
