Qantas slashes 1750 jobs

Alan Joyce Photo: SMH

Alan Joyce

We knew it was coming!

Qantas has formally announced that they will be cutting 1750 jobs, grounding 10 aircrafts and defering the delivery of jumbo A380 aircrafts. The Sydney Morning Herald reported on the announcement, saying that the Qantas airline was suffering the most of all Australian airlines, reducing fares by up to 50%

“Market conditions have deteriorated, especially in our international business,” [Alan Joyce] said today. “We are experiencing significantly lower demand, particularly in premium classes, and considerable price pressures with extensive sales and discounting by all carriers.”

The Australian Financial Review also reported that Qantas would be reviewing their 2008/2009 full year profit which is likely to be downward from $500 million to $200 or $100 million.

I kind of feel for the airline at the moment; I hope Joyce is able to pull the airline out of the hole the recession is pushing them into. They have been receiving quite  a lot of negative media attention over the past year and while it is unfortunate that they will be making all these cutbacks I think the media needs to remind the public that a majority of companies are making these sorts of necessary cutbacks. Qantas just seems to be in the line of fire.

Published in: on April 14, 2009 at 3:44 am  Leave a Comment  

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