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Qantas Redundancies likely but No Figure Set

Search ASIA Travel Tips .com 1 March 2005

Qantas said today there was no definitive figure for possible redundancies as a result of its ongoing and extensive restructuring across all areas of the company.

The Chief Executive Office of Qantas, Geoff Dixon, said Qantas, like all airlines, was involved in ongoing workplace and operational changes to meet the challenges facing aviation worldwide.

Mr Dixon said that despite its credible level of recent profitability, Qantas had no option but to continue the change program it has been implementing in recent years.

“Two weeks ago, when reporting the Qantas half-year results, we announced a review of all processes and activities across the Qantas Group that would take at least three months,” Mr Dixon said.

“It has been this willingness by the company to confront deeply embedded inefficiencies that has provided Qantas with the means for substantial investment in aircraft and product and significant employment growth.

“Qantas has added 7,500 jobs over the past six years while most airlines have been undertaking massive downsizing.”

Mr Dixon said it was inevitable that existing efficiency programs and the process review outlined at Qantas’ half-year results announcement would result in further change.

“This could involve some redundancies, some relocation of activities – not necessarily offshore – and a change in emphasis in the direction of some areas of the company. It could also involve new jobs and greater opportunities in other areas,” he said.

“We do not have a redundancy target in any area – we have a commitment to ensure the competitive future of Qantas. What we do have is a record of employing and training Australians in many key disciplines.”

Qantas currently employs about 38,500 people including more than 35,000 in Australia.

Mr Dixon said Qantas was consulting, and would continue to consult, extensively with its people over proposed future changes.

He said that despite some misinformed views to the contrary, Qantas received no Government support in an industry rife with Government ownership, subsidies and extensive protection.

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