Qantas set to detail major job cuts

Qantas will detail its next round of job cuts next week, but says speculation of 3000 job losses is unsubstantiated.

The tail of a Qantas Boeing 767 in Sydney

Qantas is set to outline major job cuts next week in response to its massive financial losses. (AAP)

Qantas is set to outline major job cuts next week in response to its massive financial losses.

The airline said in December it expected to cut at least 1000 jobs in 2014 as it worked to save $2 billion in the next three years.

It is expected to post a loss of up to $300 million for the first half of the 2013/14 financial year when it announces its financial results on Thursday.

On Friday, Qantas denied market speculation it was planning to cut up to 3000 jobs, as well as shed overseas routes.

"There are a series of unsubstantiated and unsourced rumours swirling around ahead of our half-year results, ranging from estimates on job losses to route changes," Qantas said in a statement.

"The facts are that Qantas has flagged the need to make tough decisions as part of strengthening our business, which we will outline next Thursday."

The airline would not comment on whether overseas routes to London or Johannesburg would be affected.

South African Airways has told its customers they will no longer be able to fly directly from Johannesburg to Sydney after Qantas cancelled a nearly 14-year-old code-sharing agreement.

The South African state-owned carrier said it had no immediate plans to restart its direct service, which operated for 27 years before the code-sharing agreement, and said customers would now have to travel via Perth.

"Although we no longer operate flights ourselves to Sydney, we will maintain our presence in the country through our own operations to Perth and all of our established partnerships," SAA commercial manager Kendy Phohleli said on Friday.


2 min read

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Source: AAP


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