Zkpilot From New Zealand, joined Mar 2006, 4749 posts, RR: 10 Posted (5 years 4 months 3 weeks 6 days 13 hours ago) and read 3768 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, 1777 posts, RR: 4 Reply 2, posted (5 years 4 months 3 weeks 6 days 1 hour ago) and read 3397 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 (5 years 4 months 3 weeks 5 days 14 hours ago) and read 2864 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, 1455 posts, RR: 0 Reply 9, posted (5 years 4 months 3 weeks 5 days 12 hours ago) and read 2773 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.
Smi0006 From Australia, joined Jan 2008, 1455 posts, RR: 0 Reply 11, posted (5 years 4 months 3 weeks 5 days 12 hours ago) and read 2719 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 (5 years 4 months 3 weeks 5 days 10 hours ago) and read 2608 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, 7852 posts, RR: 8 Reply 14, posted (5 years 4 months 3 weeks 5 days 10 hours ago) and read 2573 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, 2561 posts, RR: 20 Reply 15, posted (5 years 4 months 3 weeks 5 days 10 hours ago) and read 2559 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.
V Jet From Australia, joined May 1999, 719 posts, RR: 2 Reply 17, posted (5 years 4 months 3 weeks 5 days 10 hours ago) and read 2548 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.
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 (5 years 4 months 3 weeks 5 days 5 hours ago) and read 2252 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.
MilesDependent From Australia, joined Sep 2001, 848 posts, RR: 0 Reply 22, posted (5 years 4 months 3 weeks 5 days 4 hours ago) and read 2203 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.