Debate has ramped up in recent months around a proposal by transport minister Simeon Brown to privatise aviation security services at airports around the country, writes chief editor Nicholas Dynon.
Transport Minister Simeon Brown wants New Zealand’s Civil Aviation Authority to be more efficient and to deliver quicker for the travelling public.
In June 2024, he noted, 87 percent of domestic passengers and 77 percent of international passengers were screened within 10 minutes at Auckland airport. That figure, he said, should be at least 95 percent.
“As the saying goes, time is money, and many people’s time has been chewed up through an inefficient aviation security service,” he said at a 27 August speech to the Aviation Industry Association Conference.
“It has become clear to me that AvSec is not operating as efficiently as it should.”
“For example, under current legislative settings, instead of outsourcing for staffing when a plane arrives at a smaller airport or outside normal hours, Avsec is required to set up full teams to do this service,” he said. “This lack of flexibility is a significant issue, especially when it limits airlines and airports from establishing new flights at different hours.”
“New Zealand security providers would welcome the opportunity to work with airports, airlines and Avsec in providing a reliable and efficient aviation security service similar to those offered by third-party providers overseas, such as Australia and the United Kingdom.”
“We have also seen significant queues at our major airports with airports telling me that they want to have the option of being able to provide this service themselves and that they can do this more efficiently and cost effectively than it is currently done.”
Minister Brown outlined his argument in a document to Cabinet, stating that he wanted to use the opportunity the Civil Aviation Authority funding review “to test the appetite of industry to take on a role in aviation security services, including seeking the views of those who are enabled to deliver these services after the new Act comes into effect.”
Industry support for consultation
NZ Airports’ submission into the government’s consultation Investigating alternative delivery arrangements for aviation security services confirmed a strong appetite from airports to see these functions opened up to industry.
“This is a milestone consultation on an issue NZ Airports has been raising for many years,” stated a 22 October statement by the industry group. “We appreciate the work of Hon Simeon Brown, Minister of Transport, to move it to the next stage.”
“While we have high regard for CAA and AvSec officials, airports consider the current aviation security model to be inefficient and inflexible in meeting the needs of New Zealand’s air transport system. We see clear efficiencies to be achieved through greater government-industry collaboration,” stated the group.
“This collaboration should include the transfer of functions to industry where we are able to deliver secure, lower cost and more flexible services.”
The minister’s proposal also received strong endorsement from the New Zealand Security Association (NZSA).
“New Zealand security providers would welcome the opportunity to work with airports, airlines and Avsec in providing a reliable and efficient aviation security service similar to those offered by third-party providers overseas, such as Australia and the United Kingdom,” stated Gary Morrison, NZSA Chief Executive Officer.
“The private security industry in New Zealand employs over 35,000 people, including over 25,000 licensed security personnel and generates $3.0 billion in annual revenues, so the industry is well resourced and very capable of providing high quality, secure and cost-effective services that would create a favourable and positive experience for travellers and visitors.”
“NZSA member companies are currently providing security and screening services at high security government and corporate sites and have supported Police and government agencies at large scale events including APEC, the America’s Cup and the Woman’s Football World Cup,” he said.
“We welcome the opportunity to engage with the Minister and key stakeholders accordingly.”
Unions point to ‘risks’
One of the three unions involved in Aviation Security, the National Union of Public Employees (NUPE), says that it is “alarmed” by the government’s proposal to outsource aviation security services (AVSEC).
NUPE Secretary Janice Gemmell stated that the Minister’s proposed outsourcing of the aviation security function reflected a desire for greater “flexibility” in service delivery.
“Flexibility,” stated Ms Gemmell, “is also another term for potential job losses and privatisation, which could significantly impact passenger safety and security.”
The NUPE stated that it “is opposed to any compromise on safety.”
“The rules that govern security on planes are not arbitrary; they have been carefully discussed and established at both domestic and international levels,” Ms Gemmell said.
She also emphasised NUPE’s opposition to outsourcing to private security firms or organisations that “usually offer inferior terms and conditions, potentially leading to less experienced staff and higher staff turnover.”
NUPE also opposed the idea of airports directly delivering the service, arguing it would lead to inconsistencies airport practices being profit driven.
E tū, Aotearoa, the country’s largest aviation union, sang a similar tune.
“Avsec’s sole mission is to keep our airports safe, and they do it with highly skilled workers,” said Michael Wood, E tū Negotiation Specialist. “Once you bring in private companies with a commercial interest, profit becomes a key priority instead.”
“Experience from other privatised services shows that when a profit motive is introduced to a sector where revenue is fixed, service quality often suffers as costs, including investment in staff, get slashed. If profit is the driver, there’s a real danger of services being compromised. New Zealanders have seen this happen before in many other sectors.”
E tū also expressed its concern that “conflicting operational pressures” could apply if either airlines or airports were to operate aviation security.
“Asking airlines to run security services introduces a conflict of interest that could undermine the thoroughness and consistency of screening and other security measures. While our airlines are committed to safety, the thoroughness of screening processes would be in direct conflict with their goal of getting people onto planes as quickly as possible.”
“While everyone agrees the system should be more efficient and minimise delays,” said Wood, “privatisation isn’t the solution”.
“Avsec’s costs are covered by passenger levies, which are intended to fully fund operations. It’s unrealistic to expect private operators to save money, keep levies low, improve safety and functionality, and still turn a profit. The idea that privatisation could magically solve all these problems doesn’t stack up.”
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