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Home / Rotorua Daily Post

Rotorua Airport takes legal action against Airways over proposed services withdrawal

Zizi Sparks
By Zizi Sparks
Multimedia journalist·Rotorua Daily Post·
21 May, 2020 12:59 AM4 mins to read

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Rotorua Airport air traffic control tower. Photo / File

Rotorua Airport air traffic control tower. Photo / File

Airways has confirmed its decision to withdraw services from seven airports, including Rotorua, resulting in the loss of up to 38 jobs in the next six months.

But Rotorua Airports chief executive says "we will fight this until the end" and the airport has launched legal action against Airways which could see the airport keep the services if planned legal discussions lean in its favour.

In April, Airways - New Zealand's air navigation service provider - announced it was considering withdrawing air traffic services from Rotorua and other regional airports around New Zealand where there were limited or no commercial flights operating.

The removal of the service would mean pilots would have to use standard visual flight rules to stay separated when flying in before they reach an altitude covered by air traffic control radar operated from larger centres.

Rotorua Airport chief executive Mark Gibb. Photo / File
Rotorua Airport chief executive Mark Gibb. Photo / File
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The proposal, which would save Airways $4.5 million a year, was opposed by airport chief executive Mark Gibb, who wrote to government ministers asking them to urgently intervene.

Last week Rotorua Airport launched legal action against Airways, filing an application for interim measures in the High Court.

A court hearing was held on Monday over Zoom and both parties agreed to pursue an arbitration process.

Since then Airways has released a statement confirming the decision to withdraw air traffic control services at Hawke's Bay, Gisborne, New Plymouth, Rotorua and Invercargill airports and flight information services at Kapiti Coast Airport and Milford Sound Piopiotahi Aerodrome.

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Gibb told the Rotorua Daily Post the parties had also agreed to "explore commercial alternatives to the withdrawal" and the process "enables both of us to work through this in a high degree of detail".

In the meantime, Airways would not terminate any employment agreements or give notice to the Civil Aviation Authority they would be withdrawing traffic control services, Gibb said.

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"We're working with Airways to see if we can navigate our way through a whole lot of challenges and see if we can get to a point of ultimate retention of services."

He said the confirmation of the decision was disappointing.

"We remain adamant that closing the control tower will have a detrimental impact on the safe operation of our airport and recovery of our city post-Covid-19. On this basis will continue to fight for its retention."

Airways chief executive Graeme Sumner said in a statement: "While Airways may indicate a decision to withdraw services, it will not issue a notice under the Collective Employment Agreements to terminate the employment of any air traffic control staff at Rotorua or give notice to Civil Aviation Authority to withdraw services before June 1, 2020. This allows an arbitration hearing to take place next week in relation to the matter.

Airways chief executive Graeme Sumner. Photo / File
Airways chief executive Graeme Sumner. Photo / File

"Both Airways and Rotorua Airport are open to discussing the future provision of all services provided to Rotorua Airport by Airways, acknowledging the challenges faced by both organisations resulting from the Covid-19 pandemic."

No other airports in the proposal have taken legal action.

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In the May 19 press release about the decision, Sumner said the decision was a hard one and upsetting for affected workers and their families.

"But the disruption caused by the pandemic is unprecedented. Airways must address the immediate challenges of the pandemic-induced crisis, and to help put the industry on a more sustainable footing.

Last week Rotorua Airport launched legal action against Airways.  Photo / File
Last week Rotorua Airport launched legal action against Airways. Photo / File

"Maintaining our previous services would have imposed an unjustifiable and unsustainable cost on airline operators without any corresponding benefits in passenger safety or regional connectivity."

Sumner said Air New Zealand had assured his company the changes would not affect the airline's ability to provide safe passenger and freight services to the cities and regions concerned.

In a FAQs document, the Rotorua Daily Post was referred to, Airways said it had consulted staff and representative unions.

It said the company was "committed to supporting economic recovery from Covid-19".

"By removing cost barriers for the airlines, we believe they will be better positioned to resume services to those airports we have under review.

"We believe the proposal works to preserve regional connectivity as the airlines begin to rebuild their networks."

Rotorua Air Traffic Control facilitates more than 26,800 flight movements a year.

Before Covid-19, an average of 12 passenger or commercial flights flew into and out of Rotorua Airport each day.

Rotorua mayor Steve Chadwick said a safe and fully functioning airport was crucial for economic recovery and she believed the withdrawal of the Airways services would jeopardise that.

"So we have been fighting and lobbying hard to prevent that from happening.

"If we lose these services it will have a direct and significant impact on local tourism that will further undermine confidence at a really critical time."

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