Qantas To Axe 6,000 Jobs Due To Pandemic

55
798

Qantas To Axe 6,000 Jobs Due To Pandemic

Qantas will axe 6,000 jobs as part of its plans to survive the coronavirus pandemic, the airline says.

The cuts equate to about a fifth of the airline’s workforce prior to the Covid-19 crisis. In March, it furloughed more than 80% of its staff.

Australia’s national carrier said the collapse in global air travel had devastated revenues.

Last week, the Australian government said its border would most likely remain closed into next year.

It prompted Qantas to cancel all international flights until late October, except for those to New Zealand.

On Thursday, chief executive Alan Joyce said the airline expected smaller revenues in the next three years, forcing it to become a smaller operation to survive.

“The actions we must take will have a huge impact on thousands of our people,” he said in a statement.

“But the collapse in billions of dollars in revenue leaves us little choice if we are to save as many jobs as possible, long term.”

Media captionCoronavirus: How to fly during a pandemic

Mr Joyce added that Qantas, and its budget subsidiary Jetstar, would continue to extend a furlough for about 15,000 workers “as we wait for the recovery we know is coming”.

Australia has flattened its virus curve faster than other nations, meaning demand for domestic flights has returned and is expected to fully recover by 2022.

But international demand at that time is forecast to be half of what it was, Qantas said.

The airline also plans to raise A$1.9bn (£1.05bn; $1.3bn) in equity – its first such move in 10 years – to bring in new funds and help “accelerate” its recovery.

Other short-term savings will be found by grounding up to 100 planes, including its A380 fleet, and deferring the purchase of new planes, it said.

Greg Waldron, Asia managing editor of FlightGlobal, told the BBC that the measures should help support the airline as it deals with the fallout from the pandemic.

“Qantas’s mix of job cuts, fleet reductions, and capital raising are designed to reduce costs during a demand crisis for the industry, and retain a solid core for the eventual rebound. In the short to medium term, Australia’s strong domestic market should help Qantas’s revenue partially revive.”

Presentational grey line

Decisions offer insight on Australia border question

Simon Atkinson, BBC News in Sydney

Australia’s borders remain pretty much shut in and out – apart from returning citizens or for passengers with exceptional circumstances. And the comments by Qantas today are telling.

By grounding most of its international fleet “for at least the next year”, the airline is clearly not expecting international borders to open up in a meaningful way until at least June 2021.

Should the much talked-about trans-Tasman bubble between Australia and New Zealand open up, Qantas will doubtless be part of that.

https://www.bbc.com

But for non-Australians hoping to visit family abroad – or for Aussies eyeing a holiday to Bali – there’s no need to pack the passport for a while yet.

Of course today the biggest thoughts go to the 6,000 or so Qantas staff who are losing their jobs, and the 15,000 employees who remain stood down.

Three Positive Results In Latest Round Of EFL Tests

Mr Joyce is hopeful about half of that latter group will be back helping the airline run domestic routes by the end of the year on the back of ramped-up demand to fly around this vast country. That hinges on Australia’s states opening borders to allow free travel.

And that depends on Australia keeping Covid-19 well under control – so outbreaks like the one we’re seeing right now in Melbourne do not become the norm.

Presentational grey line

The airline said its massive loyalty programme – which has 13 million members or around half Australia’s population – would be its best hope of recovery while borders remain closed.

Australia’s other large carrier, Virgin Australia, slumped into voluntary administration in April and is currently undergoing a sale process.

The International Air Transport Association (IATA) – the peak body for airlines – has warned that global airline revenue has seen a 55% decline on 2019 levels. IATA says it will take more than three years for global travel to return to 2019 levels.

Aviation industry analyst Shukor Yusof from Endau Analytics warned that worse is still to come for the world’s airlines as they deal with the impact of the coronavirus.

“The crisis is deeper and wider than what many think it is, and it will have a debilitating effect on the industry. We are seeing just the beginning of what is going to be at least 12 to 18 months of pain and suffering before airlines slowly recover.”

Qantas To Axe 6,000 Jobs Due To Pandemic

55 COMMENTS

  1. That is the right blog for anyone who needs to seek out out about this topic. You realize a lot its nearly onerous to argue with you (not that I really would want…HaHa). You positively put a brand new spin on a subject thats been written about for years. Great stuff, simply nice!

  2. There are certainly a lot of information like that to consider. That is an excellent point to bring up. I use the thoughts over as general inspiration yet clearly there are concerns like the one you bring up where one of the most vital point will certainly be working in straightforward good faith. I don?t recognize if ideal practices have actually arised around things like that, however I make certain that your job is clearly determined as a fair game. Both young boys as well as girls feel the effect of simply a moment?s satisfaction, for the remainder of their lives.

  3. You really make it seem so easy with your presentation but I find this topic to be actually something which I think I would never understand. It seems too complicated and very broad for me. I’m looking forward for your next post, I’ll try to get the hang of it!

  4. My spouse and i ended up being so comfortable when Michael could carry out his reports from your precious recommendations he got from your blog. It’s not at all simplistic to simply possibly be handing out tips and hints which often people may have been selling. And now we do understand we have you to appreciate for that. All of the explanations you’ve made, the easy website navigation, the friendships you will aid to foster – it is most unbelievable, and it’s really making our son in addition to our family believe that this theme is enjoyable, and that’s tremendously important. Many thanks for the whole thing!

  5. I liked up to you will obtain carried out proper here. The sketch is tasteful, your authored subject matter stylish. however, you command get bought an nervousness over that you wish be turning in the following. ill definitely come more before again since precisely the same just about a lot ceaselessly within case you protect this increase.

  6. Nearly all of what you assert happens to be supprisingly legitimate and that makes me ponder the reason why I had not looked at this with this light before. This particular article truly did turn the light on for me as far as this particular topic goes. However at this time there is actually one particular position I am not too comfortable with and whilst I make an effort to reconcile that with the actual core idea of your issue, permit me observe what all the rest of your subscribers have to say.Nicely done.

  7. Nice blog right here! Additionally your site lots up fast! What web host are you using? Can I am getting your associate hyperlink in your host? I want my web site loaded up as fast as yours lol

  8. Thank you for the sensible critique. Me and my neighbor were just preparing to do some research about this. We got a grab a book from our area library but I think I learned more clear from this post. I am very glad to see such fantastic info being shared freely out there.

  9. We are Daylight Studio, a boutique photography studio in East London available for hire. We are a creative natural light studio space with decorated French walls, lots of props and furniture and massive windows for great natural light. He have a unique selection of chairs, fabric backgrounds and a sofa for your next natural light photography project. The studio is great for fashion, portrait and commercial photography and if natural light photography studio is not your thing we have a lot of lighting equipment available for you as well and that includes studio strobe lights with various modifiers and LED constant lights for video production. We also have facilities for e-commerce photography. Please see the studio’s gallery here.

  10. Thanks a lot for sharing this with all of us you actually know what you’re talking about! Bookmarked. Please also visit my web site =). We could have a link exchange arrangement between us!

  11. One thing is the fact one of the most common incentives for making use of your credit cards is a cash-back and also rebate offer. Generally, you will get 1-5 back on various acquisitions. Depending on the credit card, you may get 1 in return on most expenditures, and 5 back on expenditures made using convenience stores, filling stations, grocery stores along with ‘member merchants’.

  12. Aw, this was a really good blog post. In idea I would like to place in creating like this furthermore? taking some time and also actual initiative to make a very good write-up? however what can I say? I procrastinate alot as well as never seem to get something done.

  13. When I initially commented I clicked the -Notify me when brand-new comments are added- checkbox and also currently each time a remark is added I obtain 4 e-mails with the exact same remark. Is there any way you can remove me from that service? Many thanks!

  14. Greetings from Colorado! I’m bored to tears at work so I decided to browse your site on my iphone during lunch break. I enjoy the knowledge you present here and can’t wait to take a look when I get home. I’m surprised at how fast your blog loaded on my mobile .. I’m not even using WIFI, just 3G .. Anyhow, great site!

  15. Get help to stop drinking. Helping women quit drinking alcohol. Coach Mary Wagstaff. Feel better, mind, body and soul. Mindfulness based coaching and alcohol recovery. Yoga for recovery.

  16. Get help to stop drinking. Helping women quit drinking alcohol. Coach Mary Wagstaff. Feel better, mind, body and soul. Mindfulness based coaching and alcohol recovery. Yoga for recovery.

  17. Hi! This is my first visit to your blog! We are a group of volunteers and starting a new project in a community in the same niche. Your blog provided us useful information to work on. You have done a extraordinary job!

  18. You really make it seem so easy with your presentation but I find this topic to be actually something which I think I would never understand. It seems too complex and extremely broad for me. I am looking forward for your next post, I will try to get the hang of it!

  19. Aw, this was a really nice post. In idea I wish to put in writing like this additionally – taking time and actual effort to make an excellent article… but what can I say… I procrastinate alot and under no circumstances seem to get something done.

  20. We are a bunch of volunteers and starting a brand new scheme in our community. Your website provided us with helpful info to work on. You have done a formidable activity and our entire group will likely be thankful to you.

  21. hey there and thank you for your info ¡V I have certainly picked up something new from right here. I did however expertise several technical points using this website, as I experienced to reload the web site a lot of times previous to I could get it to load correctly. I had been wondering if your web host is OK? Not that I am complaining, but slow loading instances times will often affect your placement in google and can damage your quality score if advertising and marketing with Adwords. Anyway I am adding this RSS to my email and could look out for much more of your respective fascinating content. Ensure that you update this again soon..

  22. I’ll immediately grasp your rss feed as I can not to find your e-mail subscription link or newsletter service. Do you’ve any? Kindly allow me understand in order that I may subscribe. Thanks.

  23. Do you have a spam issue on this blog; I also am a blogger, and I was wanting to know your situation; many of us have developed some nice procedures and we are looking to exchange strategies with others, be sure to shoot me an email if interested.

  24. Arx Nimbus’ Thrivaca Risk Analytics Platform provides the first financially-relevant Digital Risk Profile for the enterprise, underwriters and brokers. Using a patented algorithm developed in collaboration with leading universities, the DoD and federal regulators, Thrivaca consolidates industry historical analysis, your latest analyses and assessments, proprietary vulnerability scans, audit data and actuarial mathematics to produce a complete and detailed valuation of enterprise-wide digital risk, and the top sources of current carrying cost.

  25. I have learn some good stuff here. Certainly value bookmarking for revisiting. I surprise how so much attempt you place to create any such excellent informative website.

  26. I was really pleased to locate this web-site. I intended to many thanks for your time for this wonderful read!! I definitely appreciating every little bit of it and also I have you bookmarked to take a look at new things you post.

  27. I?d have to check with you here. Which is not something I usually do! I appreciate reviewing an article that will make people believe. Also, thanks for enabling me to comment!

LEAVE A REPLY

Please enter your comment!
Please enter your name here