Australia’s Qantas cuts 90 management jobs

Australia’s Qantas cuts 90 management jobs
AFP
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First Published: Wed, Mar 25 2009. 05 29 PM IST
Updated: Wed, Mar 25 2009. 05 29 PM IST
Sydney: Australia’s Qantas announced on Wednesday it was slashing 90 senior positions and said those kept on would have to take on more responsibilities as the airline battles the global financial crisis.
Chief executive Alan Joyce said Qantas, which had already announced 1,500 job cuts last July, would also maintain a salary freeze as the flag carrier copes with falling passenger numbers and a drastic slide in profits.
“Our response must begin with those of us who lead the company,” Joyce said. “Unfortunately, introducing a flatter, leaner structure means making some tough decisions.”
It is the first time the airline has specifically targeted senior executives since the slowdown began. Qantas last month announced a 66% fall in first-half profits to 210 million Australian dollars ($145 million).
“It is clear that the aviation sector faces considerable commercial challenges for the foreseeable future,” said Joyce, who took over as CEO in November after five years running the company’s budget offshoot Jetstar.
“These changes will mean fewer overheads and reduce the number of layers between those leading the business and those working with our customers, our aircraft and business partners,” he said.
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First Published: Wed, Mar 25 2009. 05 29 PM IST
More Topics: Qantas | Job cut | Layoffs | Slowdown | Recession |