KiwiRail to axe 181 staff over three years
Mon, 06 Aug 2012 10:39a.m.
KiwiRail will slash 181 jobs over the next three years as it cuts back its infrastructure and engineering arms.
Staff will be told this week which jobs will go, and KiwiRail is seeking expressions of interest for voluntary redundancy, chief executive Jim Quinn said in a statement on Monday.
The proposal will cut 716 infrastructure and engineering jobs by a quarter, to 535.
Fifty of the 214 jobs in the northern region will go, along with 64 of 244 jobs in the central region and 43 of the 194 jobs in the southern region.
KiwiRail will also cut 24 of its 64 track machine jobs.
Mr Quinn said the job cuts were a response to economic uncertainties and would allow infrastructure and engineering to contribute to KiwiRail becoming a sustainable business.
The company hopes to achieve the required cuts through voluntary redundancy, with some staff having already expressed an interest.
"We still intend to spend $750 million on the network over this three year period. This is around $200 million less than we planned to spend prior to the full impacts of the current economic situation and events like the Christchurch earthquake becoming apparent."
He said the company was still making a significant investment of about four times what it spent in 2005, and there will be no compromise on the safety of KiwiRail's operations.
"The staff changes are not about doing the same amount of work with less staff, we will simply be doing less work but in a more efficient and planned way."
KiwiRail is aiming to implement a new structure in October.
NZ First MP Brendan Horan revealed the cuts last month, and he believes the company is looking to axe more jobs next year.
Both he and the Labour Party believe the cuts are part of preparations by the government to sell off the rail network.
The previous National government sold the Railways Corporation in 1993 and Labour bought it back for $665m in 2008, renaming it KiwiRail.
Post a Comment
Before commenting, please take the time to read our moderation guide
(Won't be published)
6/08/2012 11:01:23 a.m.
Bruce Bevin wrote:
I'm certainly not fooled by this, KiwiRail is dumping staff in preparation for an asset sale by the Government!
32 months after the first earthquake, dozens of Christchurch...
All 350 passengers on board a commuter train that derailed e...
The woman who first tried to lift the lid on paedophile Jame...
Video has emerged of a skydiving incident in Motueka last ye...
Copyright © 2013 MediaWorks TV. All Rights Reserved.