Australian airline Qantas to axe 850 jobs at HQ, shift work to India
India is set to handle a major share of outsourced corporate operations of Australian airline Qantas, which plans to transfer around 850 head-office jobs to technology services company Accenture under a multi-year agreement.Most of the services covered by the arrangement will be delivered by Accenture’s teams in India, reported various Australian media outlets including Austrlia Broadcasting Company.The transition will cover several business functions, including finance, procurement, human resources and marketing. The first phase is expected to be implemented by mid-2027, with some services continuing to be handled in Australia.The arrangement is part of Qantas’ efforts to overhaul its technology infrastructure and simplify its operations as artificial intelligence increasingly reshapes the travel industry. The airline is looking to modernise systems that have become difficult to integrate and manage.Qantas CEO Vanessa Hudson told employees that the company operates more than 1,000 legacy applications that were not designed to work together. “Modernising these systems and connecting the data across them is the critical next step,” she said, adding that the changes would help accelerate innovation and the airline’s use of AI.Hudson also acknowledged the uncertainty the announcement could create among employees.“I know this is hard news for some, and I’m sorry for the uncertainty it brings,” she said.Explaining the broader objective, she added, “They are about modernising the technology behind our business and becoming more efficient, so we can keep investing in our customers, our people and our future.”The decision has drawn criticism from the Australian Services Union (ASU), which has questioned the implications of shifting work from Qantas’ Australian headquarters to overseas teams.ASU NSW Secretary Angus McFarland said the union believed most of the affected positions were based at the airline’s headquarters in Mascot, Sydney.“This should be chilling to not only those workers, but all Australians, because no Australian benefits from this. This is jobs offshore, and this is skills offshore at our national airline,” McFarland said, as quoted by ANI.The union has also alleged that the latest announcement contradicts assurances given to employees earlier this year.ASU Assistant National Secretary Scott Cowen said workers had been told in August that Qantas had no plans to offshore Australian jobs. “Earlier this year, Qantas told us directly there was no plan to offshore any jobs. Today, they’ve come out and told hundreds of staff members that their work will now be delivered mostly from people overseas,” Cowen said.The union is seeking details on how many positions will be affected, which roles will remain in Australia and what retraining assistance will be offered. It has also called for redundancy packages that take employees’ years of service into account.
What happens to affected Qantas employees?
Hudson said the individual outcomes for employees had not yet been determined and that the airline would consult workers and their union over the coming months.Qantas has said it intends to retain as many employees as possible within the group by offering opportunities for redeployment, retraining and reskilling.The company is expected to work through these arrangements as the outsourcing transition progresses.
