February 27, 2007

EPMU questions Air NZ job cuts in light of profit

Air New Zealand’s announcement today of a 60% increase in profits for the last six months shows it is not in crisis and can afford to treat its workforce humanely, says the union fighting to stop the outsourcing of 1800 ground services jobs.

The airline has claimed the need to increase profit is behind its plans to give the work to Spanish firm Swissport and cut pay and conditions for workers.

Engineering, Printing and Manufacturing Union National Secretary Andrew Little says the profit announcement is a clear sign Air New Zealand is doing just fine as it is.

“Today’s result shows Air New Zealand is a profitable company in what is an extremely competitive industry and it should be recognised that a good part of that competitiveness comes from the loyal and stable workforce who are now under threat of redundancy.

“This result involves a significant contribution from unionised workers, including major changes in aircraft engineering last year in a deal negotiated by the union with Air New Zealand.”

Little says the news of a 60% profit increase will not offer much comfort to workers facing redundancy.

“To the extent there are issues that need to be addressed in ground services, there is plenty of time to discuss these and the airline should stop bullying its workforce into the radical changes it is proposing.”

The ground services dispute is currently before the Employment Court. The EPMU alleges that Air New Zealand deliberately misused the agreed employment consultation process to open bargaining at a time when union members have no negotiating power.

ENDS

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