Air New Zealand grounds Boeing 777s until at least end of this year… – : Newsflight :
Airline , May 28,2020
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Air New Zealand has grounded Boeing 777-200 and 777-300 fleet until at least end of this year or April 2021, as part of cost saving measures it undertake.

As a result, the airline plans to lay off nearly 1,000 flight attendants from its international fleet.

The number of employees who work on the Boeing 787 Dreamliner fleet will also be reduced. Service manager roles will reduce from 157 to 142, and flight attendant numbers will be cut from 514 to 443.

Airline made the following changes to stay afloat during this crisis.

– Labour reductions of approximately 30%, or 4,000 employees, which is expected to drive annualised savings of $350 to $400 million

– Suspension of all short-term incentive schemes for the 2020 financial year

– Reduction of the Executive team by 30%

– A 15% reduction in the salary of the Chief Executive and Executive team, together with a 15% reduction in Director fees through to December 2020

– Institution of a hiring freeze and voluntary leave options

– Deferral or cancellation of almost $700 million in expected capital expenditure to December 2022, including deferrals of planned A321neo deliveries

– Also, grounding of airline’s Boeing 777-200 and 777-300 fleet until at least the end of calendar 2020.

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