Young has been dropped following the return of Kane Williamson who missed the India tour due to injury.
Skipper Tom Latham has also confirmed that former Otago pace bowler Nathan Smith will make his test debut.
"Unfortunately Will Young misses out. Someone who played fantastically well in India and did a great job for us. It's nothing on what Youngy has done, because he has been fantastic over the last period of time but having someone like Kane obviously boosts your side with the calibre of player that he is," Latham said.
Young was in a rich vein of form in India scoring two half centuries and averaging almost 50 in the series.
He and Rachin Ravindra combined for an unbroken 75 third wicket partnership which guided New Zealand to the first test victory in Bengaluru and set the Black Caps up for their 3-0 series win.
Latham said coach Gary Stead passed on the news to Young that he had missed out "but I certainly followed up with Youngy. He's a great team man".
"He's certainly not done anything wrong. It was a tough decision to make but I guess when you are in the position of having to make tough calls like that it means your team is in a good spot ... but gutted for Youngy but excited with Kane coming back."
Latham said Smith would balance out the pace attack.
"He moves the ball both ways in the air and hits the wicket reasonably hard ... and he can bat a little bit as a bowling all-rounder which certainly helps the balance of our side."