Originally Posted by
ElZilcho
A 737-800 burns the same amount fuel per hour, requires the same maintenance and the same spare parts regardless of what rego' son the tail.
Jetconnect's cost savings is mostly Labour, with some added benefit of being Auckland based. No doubt they also stay in cheaper hotels than mainline?
Out of those reduced costs, they have to pay for a separate AOC, separate training department, multiple layers of management and operations, while having a higher turnover of staff increasing training costs.
How much is driven by Labour costs and how much is an industrial threat to keep mainline pilots in check?
the economys of scale argument would be helped if Jetstars NZ and TT overheads also fell under JetConnect