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Kiwirail shortfall the result of its own short-sightedness

22 February 2018

Kiwirail shortfall the result of its own short-sightedness

Kiwirail’s lower-than-expected revenue result for the past half-year is the predictable result of its own short-sighted thinking, says the Rail and Maritime Transport Union.

“Kiwirail chairman Trevor Janes is blaming earthquakes and old locomotives requiring maintenance – but conveniently forgetting why those old locomotives are still in service,” says Wayne Butson, general secretary of the RMTU, which represents more than 4,600 workers in rail, roading and ports.

“The fact is, Kiwirail shut down local manufacturing at the Hillside workshops in Dunedin and chose to import locomotives from China to save money. These models have been a nightmare – unreliable, full of asbestos, and constantly delayed.

“The old DC locomotives wouldn’t be running, and requiring expensive repairs, if Kiwirail had bought Kiwi-made and supported Kiwi manufacturing.

“We hope this result serves as an example of why our public infrastructure needs to be run for the good of New Zealand, not the bottom line.”

The RMTU is pleased that Kiwirail chair Trevor Janes did acknowledge the hard work and excellent results produced by Kiwirail’s employees, despite these challenges.


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