Air NZ on cost-saving drive
Air NZ is undertaking significant cost-cutting efforts in response to higher fuel prices. The carrier has identified about NZ$30m (US$20.6m) in costs that can be removed before July 1, CE Christopher Luxon told employees in a memo the week of Nov 26. “These savings will come from a mix of turning off programs of work, resource reductions and tightening up on discretionary spend,” he said. In addition, Luxon said he has tasked his senior executives with “identifying further long-term sustainable cost savings” before the end of January, to take effect from the beginning of the airline’s next fiscal year July 1. Luxon noted that although fuel prices has dropped recently, “it is still significantly higher than 12 months ago and we need to make sure the business is resilient in a high fuel cost environment.” <br/>
https://portal.staralliance.com/cms/news/hot-topics/2018-12-03/star/air-nz-on-cost-saving-drive
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Air NZ on cost-saving drive
Air NZ is undertaking significant cost-cutting efforts in response to higher fuel prices. The carrier has identified about NZ$30m (US$20.6m) in costs that can be removed before July 1, CE Christopher Luxon told employees in a memo the week of Nov 26. “These savings will come from a mix of turning off programs of work, resource reductions and tightening up on discretionary spend,” he said. In addition, Luxon said he has tasked his senior executives with “identifying further long-term sustainable cost savings” before the end of January, to take effect from the beginning of the airline’s next fiscal year July 1. Luxon noted that although fuel prices has dropped recently, “it is still significantly higher than 12 months ago and we need to make sure the business is resilient in a high fuel cost environment.” <br/>
