Qantas Airways, Australia’s flagship carrier, is reportedly planning to cut around 850 jobs in the country as it looks to shift more of its operations and back-office work to India. The move is expected to impact employees across multiple functions as the airline steps up efforts to streamline operations and reduce costs amid a challenging environment for the global aviation industry.
The airline said it had signed a multi-year agreement with professional services firm Accenture to “modernise its back-end systems, processes and data, as it steps up investment in technology and AI”, the Guardian reported.
The job cuts are expected to begin in mid-2027 and will initially affect employees in finance, procurement, human resources and marketing, according to an internal email sent by Qantas chief executive officer Vanessa Hudson to staff.
“This is hard news for some, and I’m sorry for the uncertainty it brings,” Hudson said in the email, adding that the airline was consulting employees and unions on the proposed changes, as reported by BBC.
Hudson said Qantas operates more than 1,000 legacy applications developed over several decades that were not designed to work together. The partnership with Accenture would help simplify corporate functions, reduce duplication and improve efficiency, she added.
The CEO further said the pace of technological change and AI adoption was unprecedented, adding that the airline needed to adapt its operations to keep up.
Notably, Qantas employs around 28,000 people in Australia and another 4,000 overseas. The company said thousands of its employees already use AI in their day-to-day work. The restructuring announcement comes days after Qantas issued a market update warning of higher airfares and flight reductions amid rising fuel costs.
The development is also likely to renew concerns over job security in Australia’s aviation sector, particularly as companies increasingly explore outsourcing as a way to improve operational efficiency and remain competitive.
Bureau Report
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