Zkpilot From New Zealand, joined Mar 2006, 4739 posts, RR: 10 Posted (4 years 10 months 1 week 3 days 18 hours ago) and read 3327 times:
QANTAS - The Australian Airline is "set to axe up to 2000 jobs worldwide as the record price of oil hits world airlines hard.
Qantas CEO Geoff Dixon warned the national carrier's 36,000 staff this week that operations were being reviewed and those results would be released early next week."
"Qantas is expected to announce next week that five percent of its workforce – about 2000 jobs – will be axed, as will loss-making flight routes from both domestic and international schedules, News Limited reported today."
5% of the workforce is quite a lot for a company the size of QF!
They said flight crew, I'm thinking that they will probably be offering some kind of package to let go some of the older more expensive cabincrew. I doubt they will be shedding any tech crew jobs as there is still a shortage of pilots in Australia.
Pilotdude09 From Australia, joined May 2005, 1774 posts, RR: 4 Reply 2, posted (4 years 10 months 1 week 3 days 7 hours ago) and read 2956 times:
Well it has been confirmed there will be job cuts but how many is not yet known.
Geoff Dixon seriously needs to go, with MASSIVE delays this week and last weekend people are already asking how much more can be cut? What about cutting some of these managers salary's or firing some management not cutting staff that the airline needs.
BALHRWWCC From , joined Dec 1969, posts, RR: Reply 8, posted (4 years 10 months 1 week 2 days 19 hours ago) and read 2423 times:
Quoting ANstar (Reply 6):
Quoting FrenchPilot (Reply 4):
Any idea if the London Based cabin crew will be impacted
I doubt it - they cost less than their Aussie long haul counterparts.
Yeah but does the cost of the running their Crew report area aswell as admin offices out way this. Lets face it LHR office space is very expensive . Also BA hold the contract for QF's LHR training. How much does that cost them. Compared to bringing crew in from OZ and putting them in a hotel for the night.
Smi0006 From Australia, joined Jan 2008, 1381 posts, RR: 0 Reply 9, posted (4 years 10 months 1 week 2 days 18 hours ago) and read 2332 times:
Quoting BALHRWWCC (Reply 8): Yeah but does the cost of the running their Crew report area aswell as admin offices out way this. Lets face it LHR office space is very expensive . Also BA hold the contract for QF's LHR training. How much does that cost them. Compared to bringing crew in from OZ and putting them in a hotel for the night.
I beleive QF just last week (if not are very soon to) opened a training center of their own in London, to complement their brand new sydney trainning for all front-line staff be they FAs ground-staff and call center staff.
I wonder does this mean that the EZE flights wont be going ahead?
I suspect things just got harder for the engineers also.
Quote: Meanwhile, Qantas reached an 11th-hour in-principle agreement with its engineers union, which has been waging a 10-week long industrial dispute over pay.
Mr Dixon said the deal was only signed at 8.30pm yesterday, but would not comment on the details of the agreement.
...
Mr Dixon said Qantas would proceed with already announced new direct services between Sydney and Buenos Aires in November.
Smi0006 From Australia, joined Jan 2008, 1381 posts, RR: 0 Reply 11, posted (4 years 10 months 1 week 2 days 17 hours ago) and read 2278 times:
haha the above article covers everything lol!
Glad to hear they reached an agreement with the engineers hopefully the flow on effect wont last long and over the weekend things will get back on schedule.
I would have thought that the announced route closures would suffice with QF mainline 734's being retired in favour of JQ A320's & A321's as they arrive. That would give them virtually zero domestic growth.
Quoting FrenchPilot (Reply 4): Any idea if the London Based cabin crew will be impacted????
I doubt it. Compared to their Australian based counterparts, the London crew cost QF less so I'd say the foreign based crews are relatively secure. It'd be the Australian based crews which would feel the brunt of any layoffs.
Quoting Smi0006 (Reply 9): I wonder does this mean that the EZE flights wont be going ahead?
They haven't announced anything yet but I'd hope they won't delay the starting date for EZE.
Quoting MilesDependent (Reply 1): 2. The thread title is misleading - it implies that this will happen, when it is merely speculation at this stage.
No it's been announced by QF. So it's no longer based on speculation.
My prediction is an accelerated retirement of the 734's as new 738's & JQ A320's arrive along with some further trimming of International schedules. Apart from EZE which is an obvious candidate to delay starting, I can't really see any schedules to long haul places like LHR/FRA/LAX/SFO/JNB being altered at all. Maybe you will see QF mainline withdraw from HNL and leave it to JQ to service?
Baroque From Australia, joined Apr 2006, 15380 posts, RR: 60 Reply 13, posted (4 years 10 months 1 week 2 days 16 hours ago) and read 2167 times:
Would not route closures accelerate a fall off in bookings. It would be helpful if he disclosed some of the reasons for shrinking.
Obviously if bookings fall, some shrinkage is likely to occur, but to be able to assess a reasonable balance between lower frequencies and cancelling routes he would have to be a bit more forthcoming. I mean the shareholders are supposed to own the business, but Dixon seems not to remember this at times.
Also, how elastic or inelastic is demand in relation to fares? It is not as if QF is the only airline hit by rising fuel costs whatever some like to think about the Gulf airlines.
Ken777 From United States of America, joined Mar 2004, 7450 posts, RR: 5 Reply 14, posted (4 years 10 months 1 week 2 days 15 hours ago) and read 2132 times:
My person choice is for QF to take a hard look at their middle management personnel and maximize the savings there.
In 10 years of international business travel I hit close to a million miles, with about 80% on QF. The only time I had issues with them were related to interactions with middle management types who were totally lacking and basic business understanding. I think both were holdovers from the days that QF was government owned as I don't believe they could get a job in private enterprise.
Well, there was one other time when the "chicken" we were fed was so bad that I wrote them a letter saying whatever they called the bits of 'chicken" certainly had no anatomical name and and was unfit for even pig slop. Also suggested that every management level employee eligible for an annual bonus be required to sit in the cattle car section every other flight they made on business. For some reason I never received a reply to my letter . . .
Sydscott From Australia, joined Oct 2003, 2375 posts, RR: 18 Reply 15, posted (4 years 10 months 1 week 2 days 15 hours ago) and read 2118 times:
Quoting Baroque (Reply 13): Also, how elastic or inelastic is demand in relation to fares? It is not as if QF is the only airline hit by rising fuel costs whatever some like to think about the Gulf airlines.
I'd suggest that one follows the other hence why the US Airlines are significantly reducing their capacity to give them more pricing power.
KiwiinOz From New Zealand, joined Oct 2005, 2029 posts, RR: 5 Reply 16, posted (4 years 10 months 1 week 2 days 15 hours ago) and read 2111 times:
Whilst not good news, I think it's a great move. It's quite proactive compared to other airlines, who seem to be taking a much more conservative, "wait and see" approach to the current crisis.
V Jet From Australia, joined May 1999, 718 posts, RR: 2 Reply 17, posted (4 years 10 months 1 week 2 days 15 hours ago) and read 2107 times:
I will be very sorry to see my colleagues in TUS lose their jobs They have always been very professional and a delight to deal with. The operational support they provide us has been outstanding especially over the last 10 or so weeks when the overtime bans by the engineers have caused so many disruptions. This will not be replicated by a call center either here or in NZ.
Hope all goes well in the future for the TUS crew.
2. The thread title is misleading - it implies that this will happen, when it is merely speculation at this stage.
OK granted it has now come out officially that it will be 1500 jobs not 2000, but this was a headsup beforehand a leak if you will. As Allrite has said:
Quoting Allrite (Reply 7): Official Qantas media release says 1500 jobs now.
I wouldn't be surprised however that with a freeze on hiring, and with staff leaving for various reasons it probably is around 2000.
Quote: EIGHTY Adelaide-based Jetstar workers will face redundancy or relocation as part of a Qantas plan to shut down a cabin crew and pilot base here and slash 1500 jobs worldwide.
Sad to see the JQ ADL base go. Flights to the Sunshine Coast & Hamilton Island were also axed from here earlier in the year. However, the article said that flights will be kept, but times would be changed.
HKGKaiTak From Australia, joined Jun 2005, 1050 posts, RR: 0 Reply 20, posted (4 years 10 months 1 week 2 days 10 hours ago) and read 1811 times:
Quoting V Jet (Reply 17): I will be very sorry to see my colleagues in TUS lose their jobs
Absolutely. QF's TUS people are indeed very nice people to deal with. Now we'll deal with Tasmanians and Kiwis instead ...
Quoting KiwiinOz (Reply 16): Whilst not good news, I think it's a great move. It's quite proactive compared to other airlines, who seem to be taking a much more conservative, "wait and see" approach to the current crisis.
I agree totally with this sentiment. It's better to lose the jobs now.
Having said that, as in any other mass redundancies, there are quite a few people within QF who are more than happy to take up the offer of voluntary redundancies. And the 1500 jobs include many positions which are not yet filled. So in reality there are not 1500 who have been forced to lose their jobs.
Quoting Baroque (Reply 13): Also, how elastic or inelastic is demand in relation to fares?
That's a very good question and it largely depends on the route in question. The old rule that leisure routes are more affected than business routes apply to QF's current situation (and yes I do know far more than I can let on here).
Meanwhile, if you look at QF's domestic route map don't forget Australia's "two-speed economy" and its likely contributions to the QF bottom line.
Quoting Baroque (Reply 13): Would not route closures accelerate a fall off in bookings. It would be helpful if he disclosed some of the reasons for shrinking.
Not really - if they're deemed unprofitable then they're cut - you might get less passengers in total but higher probability of profitability (mainly due to higher load factors). I know of at least one example of this in the QF network.
ClassicLover From Ireland, joined Mar 2004, 4522 posts, RR: 25 Reply 21, posted (4 years 10 months 1 week 2 days 10 hours ago) and read 1779 times:
Quoting Pilotdude09 (Reply 2): Geoff Dixon seriously needs to go, with MASSIVE delays this week and last weekend people are already asking how much more can be cut?
A preliminary agreement has been reached with the engineers now. This means that the delays will be finishing - though it will take a couple of weeks for everything to get back to normal.
That was the only reason for the delays, nothing to do with staff cuts.
Quoting Azstar (Reply 5): QF is closing their London, Johannesburg, and Tucson reservation centers. They will no longer have a USA telephone call center.
Well, quite frankly, this is 99 staff as per the press release. Having dealt with the London staff before, while professional, they were somewhat clueless compared to the Australian staff.
Quoting Sydscott (Reply 12): They haven't announced anything yet but I'd hope they won't delay the starting date for EZE.
The press release explicitly states that the services to EZE will commence as scheduled.
I do quite enjoy a spot of flying - more so when it's not in Economy!
MilesDependent From Australia, joined Sep 2001, 838 posts, RR: 0 Reply 22, posted (4 years 10 months 1 week 2 days 10 hours ago) and read 1762 times:
Quoting Sydscott (Reply 12): Quoting MilesDependent (Reply 1):
2. The thread title is misleading - it implies that this will happen, when it is merely speculation at this stage.
No it's been announced by QF. So it's no longer based on speculation.
Care to read the time I posted that comment?
It's a long standing rule that things on this site should not be posted as fact when they are rumour. At the time this was posted, it was referenced to a media article which was pure speculation. It is now confirmed, but it wasn't 24hrs ago...
Quoting Zkpilot (Reply 18): OK granted it has now come out officially that it will be 1500 jobs not 2000, but this was a headsup beforehand a leak if you will. As Allrite has said:
Quoting ClassicLover (Reply 21): The press release explicitly states that the services to EZE will commence as scheduled.
I saw some more of Geoff Dixons comments this evening on the news and explitictly said that they would not be announcing any route cuts and that they would look to frequency reductions as they cut the fleet. So that kind of takes care of any speculation on that issue.
Ummm... ok. You seem to have missed the entire point of my comment. So, yes. Moving right along...
25 Sydscott: No I read the whole thing. My comment still applies. You should know by now that this place is not only full or rumour and innuendo but also the occa
26 Baroque: As Sydscott comments on the ABC at least Dixon made it appear that route closures are off the menu, route consolidation is more the order of the day.
27 A318: They are still actively hiring for the LHR base so I do not believe that this will be affecting anyone there.
28 Airnewzealand: And Actively hiring in AKL aswell (Cabin crew that is).. I know MANY senior crew will want out if a VR comes up!!!! Oh and the release was made to sta
29 Ken777: And they were very helpful for me during the 10 years I was flying to Australia on business. Sometimes the airline execs don't really understand the
30 Smi0006: I wonder in that case, does this so called hiring freeze only refer to hiring by Qantas directly and not its fully owned subsiduaries? I know MAM are
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They have always been very professional and a delight to deal with. The operational support they provide us has been outstanding especially over the last 10 or so weeks when the overtime bans by the engineers have caused so many disruptions. This will not be replicated by a call center either here or in NZ.
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