Australian airline carrier Qantas has announced plans to cut 1,750 jobs from various sections of its operations.
This decision couples with the airlines plans to defer delivery of superjumbo A380s and other aircraft in a desperate attempt to steer its way through the worst aviation downturn in years.
Qantas will cut up to 1,250 staff and 500 management positions from its 34,000 workforce, three weeks after it cut 90 management roles and laid off 1,500 workers in 2008.
The airline has revised its pre-tax profit guidance downward from about $500 million to between $100 million and $200 million for the full year. Qantas will also slash the capacity on its international and domestic routes by a further 5%.
Qantas chief executive Alan Joyce, indicates the airline’s international services and freight operations were bearing the brunt of the global economic crises.
“Market conditions have deteriorated, especially in our international business. We are experiencing significantly lower demand, particularly in premium classes, and considerable price pressures with extensive sales and discounting by all carriers,” explains Joyce.