Qantas has confirmed that is it reviewing the
location of key facilities as part of its recovery plan and
efforts to cut overheads – which may result in bringing together
several facilities, currently spread across Australia, in one
The review will focus chiefly on non-aviation
facilities – including the national carrier’s leased 49,000 square
metre head office in Mascot (Sydney) and Jetstar’s leased head
office in Collingwood (Melbourne).
Some aviation facilities are being considered for
possible relocation, such as flight simulator centres currently in
Sydney and Melbourne as well as Qantas’ heavy maintenance
facilities in Brisbane – particularly if there is an opportunity
to bring some or all of these facilities together elsewhere within
Qantas says that there are no intentions to
offshore facilities as a result of this review and it is not
expected to have any impact on customers.
Chief Financial Officer for the Qantas Group,
Vanessa Hudson, said, “Like most airlines, the ongoing impact of
COVID means we’ll be a much smaller company for a while. We’re
looking right across the organisation for efficiencies, including
our $40 million annual spend on leased office space.
“As well as simply rightsizing the amount of space
we have, there are opportunities to consolidate some facilities
and unlock economies of scale. For instance, we could co-locate
the Qantas and Jetstar head offices in a single place rather than
splitting them across Sydney and Melbourne.
“Most of our activities and facilities are
anchored to the airports we fly to, but anything that can
reasonably move without impacting our operations or customers is
on the table as part of this review. We’ll also be making the new
Western Sydney Airport part of our thinking, given the opportunity
this greenfield project represents.
“This is about setting the Qantas Group up for the
long term as well as recovering from the COVID crisis. And we’re
open minded about the outcome. It’s possible that our HQ stays
where it is but becomes a lot smaller, and other facilities
consolidate elsewhere. Or we could wind up with a single,
all-purpose campus that brings together many different parts of
the Group. These are all options we need to consider as we look to
“The Qantas Group will remain one of the country’s
largest employers and a major generator of economic activity, so
we’re keen to engage with state governments on any potential
incentives as part of our decision making,” added Ms Hudson.
To assist with the first phase of consolidation,
Colliers International has been appointed to sublease about 25,000
square metres of surplus office space across Mascot, Melbourne CBD
and Hobart. A lease on a 230 square metre Sydney CBD office that
is due to expire in October will not be renewed.
The review is expected to take three months to
determine preferred options. Any relocations are likely to be
staggered over time (potentially years) dependent on what options
are taken up.
SHORT HISTORY OF QANTAS’ HEAD OFFICE MOVES
1920 – Winton, Queensland
1921 – Longreach, Queensland
1930 – Brisbane, Queensland (various locations
including the Wool Exchange Building)
1938 – Sydney CBD (Shell House, near Wynyard
Station, which became part of the Menzies Hotel)
1957 – Sydney CBD (Qantas House, 1 Chifley Square)
1982 – Sydney CBD (Qantas International Centre,
now Suncorp Place, on Grosvenor and Lang Streets)
1990s – Gradual shift over several years to
current offices at Mascot, Sydney. This included relocation of
Australian Airlines from Melbourne to Sydney after the merger with
Qantas in 1993.
2004 – Jetstar relocates from Sydney to Melbourne.