Qantas will eliminate more than 850 positions over the next several years as part of a sweeping corporate restructure, with some functions reportedly earmarked for outsourcing to India.
The airline confirmed the plans alongside news that Qantas Group had entered into an agreement with technology consultancy Accenture.
Qantas said the changes reflect the rapid global development of technology and artificial intelligence, which is reshaping customer expectations and the way employees work.
“We know this [the job losses] will be difficult news for some of our people, and this decision is not a reflection of their contribution or commitment,” Qantas chief executive Vanessa Hudson said on Tuesday.
“We need to reinvent the processes, platforms and data behind our business so we can innovate faster and deliver a better, more connected experience for our customers and our people.
“That means fundamentally redesigning how the work behind our airline gets done so it is simpler, more connected and continually improves, with automation and AI built in from the outset.”
The first stage of the overhaul is expected to be implemented by the middle of 2027.
The changes will affect employees across finance, procurement, human resources and marketing.
Qantas will eliminate more than 850 positions over the next several years as part of a corporate overhaul that includes reported plans to outsource some work to India. A Qantas aircraft is pictured at Sydney Airport
Qantas said it would begin consulting employees and their union representatives in the coming months, adding that the impact on individual workers “has not been determined”.
“We will look to redeploy as many people as possible through retraining, reskilling and opportunities elsewhere across the group, including new roles created here in Australia,” Ms Hudson said in an email to staff seen by The Australian.
The Australian Services Union (ASU), which represents Qantas employees, had previously sought assurances that the airline would not move Australian jobs offshore.
“Qantas has informed us that there is no plan to offshore any Australian jobs, and we demand the airline stay true to these commitments,” ASU assistant national secretary Scott Cowen said earlier this year.
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“If that commitment from Qantas turns out to be worthless, it won’t just be a broken promise to the ASU.
“It will be a deep breach of trust with the Australian public, who have stuck by this airline through everything it has put them through.”
The multiyear Accenture partnership is part of Qantas Group’s annual $1 billion investment in technology.
The airline said its Innovation Centre in Adelaide is expected to expand to more than 400 positions, while thousands of employees are already using AI tools in their day-to-day work.
Qantas chief executive Vanessa Hudson, pictured, detailed the changes in an email to employees on Tuesday
The group has created 4,400 new operational positions since 2023 and expects to recruit more employees across its operational divisions.
Qantas said last week that it would scale back domestic flights and raise fares as elevated fuel prices continue to pressure the aviation sector.
“[We] will continue to adjust fares and capacity in response to higher fuel costs,” the airline said in a market update last week.
Qantas now expects to spend $3.75 billion on fuel during the final six months of 2026, up from its previous projection of $3.6 billion.
For the year ended June 30, 2026, Qantas Group reported an underlying profit before tax of $2.06 billion and a statutory profit after tax of $1.29 billion.
The job-cut announcement came a day after Boeing said it planned to reduce its commercial aircraft workforce by five per cent.
According to commercial chief Stephanie Pope, the positions will be removed through a combination of layoffs and “attrition” as the company slows its transition to give factories and supply-chain partners more time to “achieve stability”.
“Adjusting our production schedules and reducing aircraft output puts us in an overstaffed position,” she said on Monday.