Air New Zealand and union representatives return to contract talks

Airline Industry Information, July 19, 2005

AIRLINE INDUSTRY INFORMATION-(C)1997-2005 M2 COMMUNICATIONS LTD

The cabin crew and management of Air New Zealand have returned to contract talks after a second day of strike action.

The union representatives, representing some 1,000 employees, were meeting with the management in an effort to avoid further strikes. The action is expected to hit as many as 20 flights every day, affecting up to 15,000 travellers, Air New Zealand has said.

The airline has estimated that the three 48-hour strikes, including the one launched yesterday (18 July) and two more scheduled for 21 July and 24 July, would cost it at least NZD4m, The Associated Press reported.

The union has said that it wants a 3.8% wage increase for the next three years, while the offer from the airline has been 3.3% for the first year, 3.4% for the second and 3.3% for the third year.

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