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Nope my favorite topic concerning Air New Zealand but here goes.
Air New Zealand engineers face major job losses following the airline's decision to fit Rolls-Royce engines on its new fleet of international long-haul Boeings.
The company's 1,200 Auckland engineering staff speculate as many as half could be fired within the next four or five years as Air NZ does not have the infrastructure to service the engines.
The airline employs a further 800 engineering services staff at its
Christchurch facility, a joint venture with engine manufacturers, Pratt and Whitney. This centre does most of Air NZ's domestic servicing, and contract work for carriers such as Pacific Blue. It is building a new facility, due to open in October.
Air NZ Engineering Services (ANZES) general manager Trevor Hughes says it is uneconomic for Air NZ to service the new Trent Rolls-Royce engines because there will be too few in its fleet to make an engineering centre commercially viable.
He also says it would be "extremely premature and inaccurate to speculate on what the outcome may be."
Air New Zealand is doing a strategic review of all aspects of its engineering services, including maintenance, repair and overhaul (MRO) work as part of a four-year general business plan announced last October.
"I am in no doubt the review will robustly challenge the structure of ANZES and the future dynamic of its work," says Hughes.
Earlier this month Air NZ announced plans to buy eight new Boeing 777-2000 ER and two Boeing 7E& aircraft, pending shareholder approval, as well as securing rights to buy a further 42 long-haul aircraft.
The 777-200 ERs will be powered by Rolls-Royce Trent 800 series engines and the 7E7s by Rolls-Royce's new Trent 1000 engines. Air NZ is the first airline in the world to order these engines to power the new 7E7s.
One Air NZ engineer, who didn't want to be identified, said the Trent 800 must be able to be tested for 75,000 lb to 95,000 lb of thrust, and the Trent 1000 for more than 100,000 lbs of thrust.
By contrast, the 747-400 is tested for up to 60 lbs of thrust. The 747-400 has four engines compared to two each on the new planes.
The engineer says reducing from four- to two-engine planes has saved Air NZ $20 million on its new fleet.
Air NZ declined to comment on the accuracy of these figures.
The engineer says there will be plenty of work in the next two years with the installation of updated in-flight entertainment systems on aircraft and service checks for end-of-lease aircraft and engines.
"But there are no guarantees after that aircraft will be maintained here."
He says Rolls-Royce, a British-based aero-engine manufacturer, is considering four "service centres of excellence" throughout the world for its highly-specialised Trent engines. These are likely to be in Hong Kong, Singapore, Europe and the US.
Rolls-Royce announced a joint venture at Singapore's Changi Airport two years ago between itself, Hong Kong Aero Engine Services and SIA Engineering Company.
It has 400 staff dedicated to maintaining and overhauling Trent engines up to the 900 series. The joint venture has so far invested $US100 million in the facility. Rolls-Royce also has a joint venture in Hong Kong.
Hughes says ANZES operates in a competitive and tough international market place and is under "intense pressure" from MRO operations in Australia and Asia.
"The challenge for us is to ensure that ANZES is the preferred option for airlines seeking engineering work in our part of the world," says Hughes.
It recently secured a contract with Japan Airlines.
Hughes says the new engine centre in Christchurch will service IAE V2500 engines on its A320 (Airbus) aircraft.
Hughes says the A320 will be a key feature of the Air NZ fleet well into the next decade.
Across the Tasman, Qantas has its engine servicing facility in Melbourne and an airframe facility in Brisbane. It has ordered Airbus aircraft with General Electric engines which can be serviced by its existing facilities.
Air NZ's appeal against the Commerce Commission's decision to refuse an alliance between Qantas and Air NZ begins in the High Court in Auckland on July 5.
Air New Zealand engineers face major job losses following the airline's decision to fit Rolls-Royce engines on its new fleet of international long-haul Boeings.
The company's 1,200 Auckland engineering staff speculate as many as half could be fired within the next four or five years as Air NZ does not have the infrastructure to service the engines.
The airline employs a further 800 engineering services staff at its
Christchurch facility, a joint venture with engine manufacturers, Pratt and Whitney. This centre does most of Air NZ's domestic servicing, and contract work for carriers such as Pacific Blue. It is building a new facility, due to open in October.
Air NZ Engineering Services (ANZES) general manager Trevor Hughes says it is uneconomic for Air NZ to service the new Trent Rolls-Royce engines because there will be too few in its fleet to make an engineering centre commercially viable.
He also says it would be "extremely premature and inaccurate to speculate on what the outcome may be."
Air New Zealand is doing a strategic review of all aspects of its engineering services, including maintenance, repair and overhaul (MRO) work as part of a four-year general business plan announced last October.
"I am in no doubt the review will robustly challenge the structure of ANZES and the future dynamic of its work," says Hughes.
Earlier this month Air NZ announced plans to buy eight new Boeing 777-2000 ER and two Boeing 7E& aircraft, pending shareholder approval, as well as securing rights to buy a further 42 long-haul aircraft.
The 777-200 ERs will be powered by Rolls-Royce Trent 800 series engines and the 7E7s by Rolls-Royce's new Trent 1000 engines. Air NZ is the first airline in the world to order these engines to power the new 7E7s.
One Air NZ engineer, who didn't want to be identified, said the Trent 800 must be able to be tested for 75,000 lb to 95,000 lb of thrust, and the Trent 1000 for more than 100,000 lbs of thrust.
By contrast, the 747-400 is tested for up to 60 lbs of thrust. The 747-400 has four engines compared to two each on the new planes.
The engineer says reducing from four- to two-engine planes has saved Air NZ $20 million on its new fleet.
Air NZ declined to comment on the accuracy of these figures.
The engineer says there will be plenty of work in the next two years with the installation of updated in-flight entertainment systems on aircraft and service checks for end-of-lease aircraft and engines.
"But there are no guarantees after that aircraft will be maintained here."
He says Rolls-Royce, a British-based aero-engine manufacturer, is considering four "service centres of excellence" throughout the world for its highly-specialised Trent engines. These are likely to be in Hong Kong, Singapore, Europe and the US.
Rolls-Royce announced a joint venture at Singapore's Changi Airport two years ago between itself, Hong Kong Aero Engine Services and SIA Engineering Company.
It has 400 staff dedicated to maintaining and overhauling Trent engines up to the 900 series. The joint venture has so far invested $US100 million in the facility. Rolls-Royce also has a joint venture in Hong Kong.
Hughes says ANZES operates in a competitive and tough international market place and is under "intense pressure" from MRO operations in Australia and Asia.
"The challenge for us is to ensure that ANZES is the preferred option for airlines seeking engineering work in our part of the world," says Hughes.
It recently secured a contract with Japan Airlines.
Hughes says the new engine centre in Christchurch will service IAE V2500 engines on its A320 (Airbus) aircraft.
Hughes says the A320 will be a key feature of the Air NZ fleet well into the next decade.
Across the Tasman, Qantas has its engine servicing facility in Melbourne and an airframe facility in Brisbane. It has ordered Airbus aircraft with General Electric engines which can be serviced by its existing facilities.
Air NZ's appeal against the Commerce Commission's decision to refuse an alliance between Qantas and Air NZ begins in the High Court in Auckland on July 5.
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