Thousand lose jobs as Joyce tinkers with QF

first_imgSource = e-Travel Blackboard: N.J The Qantas Group has launched the first phase of a new five year plan that aims to reverse its financial losses and see a return to profits “in the short term”.Some thousands of jobs are to be affected by the new strategy unveiled today according to chief executive Alan Joyce, in the areas of management, pilots, cabin crew and engineering.Mr Joyce said he expects the majority of redundancies to be voluntary and will focus on minimising the number of compulsory redundancies. “We will become more productive, more efficient, more innovative,” the company’s head explained.Announced earlier today, the job losses come as the carrier focuses on modernising its international operations through South America and UK route adjustments and the launch of two new Asia-based carriers.Mr Joyce explained that the changes are “fundamental” to reversing “big financial losses” suffered by the carrier as well as its drop in the market share.As part of the first phase launched today, Qantas unveiled its new Jetstar Japan low-cost carrier as well announced plans to release a new premium airline to be based in Asia.“At the end of this process, we expect that we will be established on a competitive global platform, with high growth potential across all markets,” he said.“Instead of being restricted to an Australian-based international airline, Qantas international will be participating in regional Asian opportunities, and in the world beyond.”The carrier’s South American operations are also being “tinkered”, axing its services to Buenos Aires and launching new flights into Chile’s capital, Santiago. Commencing early next year, the new direct services between Sydney and Santiago are an enhancement of the carrier’s relationship with oneworld partner LAN and will operate three times weekly with plans to consider adding daily frequency.Mr Joyce described the new service as an “ideal gateway” for Aussies to travel other South American countries including Argentina, Peru and Colombia.Boosting its relationship with another major oneworld partner, the carrier’s head said it would also increase its Join Services Agreement (JSA) with British Airways to strengthen their Singapore hub and provide better connections between Australia and Heathrow.The move will see the carrier construct a new premium lounge at Changi International Airport for passengers flying from Melbourne and Sydney to London via Singapore.Also from early 2012, the Australian flag carrier will fly Australia to Bangkok and Australia to Hong Kong services, while its Bangkok to London and Hong Kong to London services will be removed and picked up by British Airways.A statement from the carrier read that the restructured services would help the carrier “improve profitability”.“Singapore will become the focal point of the JSA, with daily Qantas A380 services from Melbourne and Sydney and onward to London, increased British Airways capacity and a new premium lounge,” Mr Joyce explained. “The new approach is a smarter use of both airlines’ resources that will enhance our competitive position in Asia and in the Australia- Europe market.”last_img

Be the first to comment

Leave a comment

Your email address will not be published.


*