The Copthorne and Millennium Hotel chain says it has been forced to cut 70 percent of its 1300-strong workforce due to Covid-19.
It blames hotel occupancy rates which fell from 87 percent in February to just 1.5 percent in April.
It comes as InterCity's owner says it has already been forced to lay off 80 staff, with further cuts possible.
The bus company will resume 70 percent of its network from Thursday onward. But Entrada Travel Group chief executive John Thorburn says services may run at a loss, partly due to reduced seating to comply with social distancing rules.
Without extra government help, Thorburn says the company may be forced to look at further downsizing.
He told RNZ reporter Nick Truebridge they just have to get back up and running.
