At least 500 jobs to go at Skyline

Major New Zealand tourism operator Skyline Enterprises has made at least 500 staff redundant as it struggles to survive through the Covid-19 pandemic.

Chief executive Geoff McDonald said after 10 days consulting on a restructuring proposal the company told staff of the job losses on Monday.

Skyline’s different portfolios include Queenstown and Rotorua’s gondola and luge operations, Christchurch Casino, hotels in Dunedin and Queenstown, as well as operations in Korea, Singapore and Canada.

McDonald said of the company’s staff — seasonally between 1000 and 1200 — more than half would be made redundant.

‘‘It’s devastating for people who are losing their jobs, but they have been really great and understanding. A bit of that is they are seeing it happening all around them ... while it doesn’t lighten the impact for them it gives a bit of perspective. I am incredibly proud of how they responded.’’

Since early level 4, the company had been working through what the world would look like emerging from lockdown.

‘‘Clearly for tourism this is a challenging environment ... I am making noises about the transTasman bubble, and we would clearly love to see some domestic travel under level 2. If that doesn’t happen it will be difficult for us to open.’’

Despite the uncertainty and not being able to plan ahead, McDonald was confident business would recover.

‘‘We do think we will recover and get back to really good visitor levels . . . Our story is linked with the rest of Queenstown, and we have a vested interest in making sure the town stays vibrant.’’

The company had put several international developments on hold but hoped to be able to continue the Queenstown $26 million redevelopment of O’Connell’s shopping mall and the $200m Queenstown gondola/restaurant redevelopment, he said. ‘‘Decisions are yet to be made on exact details. We have applied for support to complete these.’’

Last month, Nga¯ i Tahu Tourism announced it may lay off 300 workers. Te Ru¯nanga o Nga¯i Tahu Kaiwhakahaere (chair) Lisa

Tumahai said in an email, the move — which would more than halve Nga¯i Tahu Tourism’s 500-strong workforce — was necessary because the company had been so severely affected by Covid-19.

Its 14 businesses had gone into ‘‘hibernation’’ and were being shut down.

They included high profile attractions such as Shotover Jet in Queenstown, Franz Josef Glacier Guides, the Agrodome and Rainbow Springs in Rotorua, the Dark Sky Project in Tekapo, and the All Black’s Experience due to open in Auckland mid-year.