Workers wary of job security

Aviation staff unions have mixed feelings about an expected deal for Qantas to buy up to 25 per cent of Air New Zealand.

Reactions range from cautious support by some pilots and the Engineering, Printing and Manufacturing Union, representing 3000 of Air New Zealand's 9700-strong workforce, to high anxiety among cabin crew and service staff.

A strategic alliance would be the lesser evil for engineers' union secretary Andrew Little, who fears mass layoffs if Qantas is blocked from a stake in Air New Zealand then sets about destroying its recovery with price wars.

While saying that his members do not want to be swamped by Qantas, he believes a deal would give them strong job security through the Australian airline's proposal of engineering "centres of excellence" on each side of the Tasman.

This could see Qantas maintaining the two airlines' Boeing 747s in Australia, but sending all its Boeing 767s and Airbuses and some of its Boeing 737s to New Zealand for overhauls.

But the Aviation Technicians' Association, representing licensed aircraft engineers, fears specialisation may narrow its members' range of skills.

Association secretary George Ryde says Air New Zealand draws maintenance business from around the world because its engineers have the licences and skills to work on virtually any aircraft type.

When the Government rescued Air New Zealand with an $885 million bailout last year, advisers alerted it to a $1.7 billion capital requirement and recommended selling the airline's engineering business, among other assets.

But Air New Zealand chief executive Ralph Norris has resisted selling this jewel in the crown of his business.

Air Line Pilots' Association industrial director Captain Garth McGearty believes his members will be relaxed about a part-sale to Qantas, given sufficient safeguards.





Service and Food Workers' Union secretary Darien Fenton, whose union represents staff of both airlines, says her members are anxiously hoping for assurances of job security when Mr Norris gives a briefing to unions this morning.

Meanwhile, she could only hope that Air New Zealand would reward her members for the wage restraints they had accepted as a contribution to the airline's financial recovery.