I don't know what the configuration would support but could they pull all the premium seats out of the unused wide body jets and swap them with economy seats in other jets? If you are cutting out middle seat revenue anyway...
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Good article that covers the union deal..I would be pissed if I was a shareholder..other agendas afoot.
https://www.odt.co.nz/news/national/...y-cut-300-laid
Wow. While it's great that only 25% are losing their jobs, it's not a great result for the shareholders, tax payers or customers is it. A wasted opportunity to make this a lean and mean airline that can compete on the global stage. At this rate they'll be knocked off by Quantas or a newer and sharper version of Virgin.
Wow, captains on a base salary of $330,00 with allowances on top of that seems right at the top of the pay scale esp when compared to the going pay rates for pilots in the US.
A 30% cut will only bring them into line with what captains in many other airlines earn.
Should be able to scrape by on $231,000 plus allowances a year from a business on life support.
It says pilots made redundant or those furloughed would be first called back if things pick up as well..for ten years...suggests to me this cost structure is locked in and we know the seniority system means the highest cannot be let go as no short term cashflow advantage in that.
Air's pilots are in essence a protected group with Government backing and those remaining are protected positions, at the minority shareholders and taxpayers expense. Much like in the health field any money going into these sectors first and foremost goes to those in the protected positions.
Their terms and conditions are totally union negotiated, rather than anywhere near market reality.
I'm more wondering why are all these people going to the States????
I understand where you're coming from, but consider that it's certainly the industry norm to provide senior staff with more stability. If you removed that for AirNZ, then piolts will naturally gravitate towards companies that still provide it.
It's also worth considering that retaining those with the most experience will allow those staff to impart their skills onto the less experienced pilots. So IME (I've been involved in an organization at senior management level that made similar decisions during the GFC) cutting the top earners first doesn't make good sense, and can lead to some tricky personal grievance lawsuits.
The top tier US pilots on LH sectors can earn over NZ$600K + perks + Bonus. The median base was (last time I researched this) around US$190K, which is about $310K + bonus structure which is more prevalent in the US than NZ. Some smaller and budget airlines tend to pull the figures down, as they pay well below the norm, but consequently are used as a stepping stone to major carriers (UAL, AA, etc.)