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Air New Zealand struggling at the mercy of COVID-19

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New Zealand’s national carrier is feeling the pinch from lockdowns, travel route shutdowns and restrictions on the aviation sector

Air New Zealand is operating at less than one-third of its usual domestic capacity due to the tough restrictions in Auckland and doubts whether a travel bubble with Australia will reope.

According to the airline’s CEO, operations outside of Auckland are running at full speed, but with the major city equating to two-thirds of the domestic network, the financial hit is huge.

“We’re running almost 100% outside of Auckland,”

Air New Zealand CEO Greg Foran

Foran says that current COVID restrictions within Auckland are having a “pretty significant impact to our business.”

Covid-19 Level 3 – Air New Zealand A321-20 aircraft parked up on the tarmac, at Auckland International Airport, Auckland, during the Covid-19 Level 3 Lockdown, Auckland, New Zealand. 07 May 2020 photograph by Brett Phibbs NZH 08May20 – Air New Zealand A321-20 aircraft parked up on the tarmac. Photo / Brett Phibbs NZH 17Jul20 – The Government won’t look at any Air NZ capital raise proposals unti post-election. Photo / Brett Phibbs NZH 28Jul20 – Air NZ and the Government are working together to limit the numbers arriving. Photo / Brett Phibbs NZH 31Jul20 – RGP 30Oct20 – Air New Zealand has cut close to 4400 jobs this year. Photo / File WGP 30Oct20 – Air New Zealand has cut close to 4400 jobs this year. Photo / File BTG 30Oct20 – Air New Zealand has cut close to 4400 jobs this year. Photo / File NAG 30Oct20 – Air New Zealand has cut close to 4400 jobs this year. Photo / File

The major financial losses:

Air New Zealand stated that it is burning through around NZ$25 million to NZ$35 million of cash a month due to the lockdown in the country’s largest city, which the government says will be scaled back in phases as vaccination rates rise.

New Zealand was one of a handful of countries around the world that brought COVID cases down to zero, sticking to an eradication strategy. The delta variant however proved too much.

The closure of a quarantine-free travel bubble with Australia is costing the Air New Zealand a further another $20 million to $25 million a month in cash burn.

The airline’s CEO said it was possible the New Zealand government would treat Australia like any other country in the future when it came to testing and quarantine rules, as is being done now.

Anthony Lucas is reporter, presenter and social media producer with ticker News. Anthony holds a Bachelor of Professional Communication, with a major in Journalism from RMIT University as well as a Diploma of Arts and Entertainment journalism from Collarts. He’s previously worked for 9 News, ONE FM Radio and Southern Cross Austerio’s Hit Radio Network. 

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Rolls Royce CEO slams aviation for failing on climate targets

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Aviation needs to act on net-zero targets, that’s according to the CEO of Rolls Royce

Warren East says the sector needs to move towards bio-fuels like hydrogen and electric aircraft.

Travellers can even look forward to flying on planes that has a gas turbine that’s burning hydrogen.

Speaking at a conference in London, East says transitional technology is the answer that plane-makers are searching for.

Some companies are already looking at sustainable fuels that can offer 80 per cent off carbon emissions across their lifetime.

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Amazon halts hiring on all corporate roles

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E-commerce giant is the latest of many to close all corporate job openings due to economic concern

Amazon is pressing pause on corporate hiring for the rest of the year, as economic concerns continue to grow.

The tech giant has instructed all recruiters to close all current corporate job openings… worldwide.

This means more that ten thousand openings will be closed as of Monday evening.

The job postings that will affected include technology positions, in store and online retail businesses, and logistics operations.

However, Amazon spokesman, Brad Glasser, says the company will still continue to have a significant number of other roles open.

He says, “we have many different businesses at various stages of evolution, and we expect to keep adjusting our hiring strategies in each of these businesses at various junctures.”

The freeze sees Amazon joining Meta, Apple, and Google, who have also announced a reduction or temporary pause on hiring.

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Business

What is Elon Musk’s “everything app”?

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elon musk twitter

Elon Musk’s Twitter deal is back on, and he says it’s the key to creating his much-anticipated ‘everything app’.

The billionaire entrepreneur had been in talks to take the social media platform private, but the deal fell through. However, after news of its reinstatement, Mr Musk said that buying Twitter is an essential part of his plans for X.

The idea behind X is a sort of super app, combining messaging, social media, payments-and lack of reliance on ad revenue, similar to the Chinese WeChat. That already has more than one billion users, but so far no equivalent exists in the West.

With Twitter under his belt, Musk believes he can make X a reality much sooner than originally planned. “It’s brought forward our X project by three to five years, but I could be wrong,” he said.

There are no further details on the X project at this time, but with Musk’s track record of visionary innovation, it’s sure to be something we’re all talking about in the near future.

Why does Elon Musk want to buy Twitter?

Elon Musk is known for his ambitious plans and big ideas, so it’s no surprise that he sees Twitter as a key piece of the puzzle for his next project, X.

The details of the deal have not been made public, but it is thought that Musk is paying a premium for Twitter.

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