Qantas announced on Tuesday a major restructuring plan involving the elimination of 850 positions and the transfer of certain operations to Accenture’s India-based operations. The airline signed a multi-year agreement with the professional services firm to modernize back-end systems, processes, and data infrastructure while expanding its technology and artificial intelligence capabilities. Initial changes are expected to commence by midway through next year.
Chief Executive Vanessa Hudson stated that the airline would engage in consultation with affected employees and union representatives before finalizing decisions. Hudson characterized the pace of technological change as unprecedented, noting that businesses face transformations unlike those experienced in generations. The company acknowledged that the news would be difficult for some staff members while emphasizing that the decision did not reflect on worker performance or dedication.
The restructuring will initially target positions in finance, procurement, human resources, and marketing divisions. Qantas employs approximately 32,000 staff members according to recent corporate filings. The move has triggered criticism from union organizations, particularly the Australian Services Union, which contends that the airline had previously stated it held no intentions to move jobs overseas. Union officials argue that workers should not bear the costs of technological advancement and characterized offshore job transfers as contrary to Australian interests.
The announcement represents the third significant corporate layoff initiative disclosed in Australia in three weeks, following restructuring announcements from design company Canva and National Australia Bank. Collectively, these three companies have targeted approximately 4,550 positions for cuts, relocations, or restructuring during the period. The timing coincides with challenging economic conditions in Australia, including elevated living costs, unemployment at its highest level in nearly five years, and reduced economic activity exacerbated by elevated oil prices linked to regional geopolitical tensions.
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