Airport Services Update

Air New Zealand staff working in Airport Services are being caused continued unnecessary pain and distress by EPMU attempts to delay a decision on whether to outsource ground handling in Auckland, Wellington and Christchurch.
Air New Zealand Chief Executive Rob Fyfe says that last ditch talks between the two parties broke down this evening after the union was unable to agree on a proposal to take to its members for ratification.

“We are bitterly disappointed that after having supplied the union with a blueprint for success its delegates were still not prepared to take a proposal back to their members that would keep the 1700 jobs in-house. Unfortunately, we are still not in a position where we can make a call on the future direction of Airport Services because the EPMU is adamant on pursuing legal action,” says Mr Fyfe.

“The EPMU in its own communication to its members has acknowledged that even if a court case succeeds the only result is a further delay. And since we now know that we cannot reach agreement, any further delay simply postpones an inevitable outsourcing decision.

“The reality is that this legal action is pointless because the SFWU, which also represents Airport Services workers, is not prepared to accept the need for any material changes to avoid outsourcing.”

Mr Fyfe says the airline is being inundated with feedback from Airport Services staff who simply want a decision.

“We are now more than 100 days into what was originally supposed to be a 58-day consultation process. The company has been more than fair and reasonable in its pursuit of trying to find an in-house solution with the unions. But we are now at the point where many of our people are telling us they are sick of waiting in limbo and just want to get on with planning their lives.

Mr Fyfe says since 2002 Air New Zealand has been working on a plan for recovery, which has seen the need for change across many parts of the business, such as new aircraft, the restructuring of the engineering division, its corporate centre and significant investments in new routes.

“Some of these changes have been difficult but are very necessary in New Zealand’s open skies environment, with the airline exposed to well resourced, highly efficient and very credible competitors,” he says.
“New Zealanders and Air New Zealand embrace this competition but that means we must be nimble, adaptable and competitive in all parts of our business, including Airport Services.”
Mr Fyfe said the services and experiences airlines offer customers in the airport environment will be the next frontier of competition over the coming years.

The scope for new technologies, new customer experiences, innovations and flexibility to create a more competitive and fulfilling travel experience are significant, and the opportunity to streamline a customer's journey through the airport will be a source of competitive advantage for those airlines that get it right.

"Those airlines that are not able to move in a nimble and bold fashion in the airport environment will jeopardise customer loyalty and will become uncompetitive. Air New Zealand must be a leader in the airport revolution, if we are to continue the recovery of the airline that we have all worked so hard for over the past four years,” says Mr Fyfe.

ENDS

© Scoop Media