Business
Qantas to cut 850 jobs, outsource to India in AI-driven overhaul
The Australian airline announced an agreement with Accenture to modernise IT systems, citing technological disruption and the influence of artificial intelligence.
Australian airline Qantas has announced plans to eliminate 850 local positions and outsource a substantial portion of these roles to offshore locations, primarily India. This strategic shift is part of a broader, AI-driven overhaul aimed at modernising the carrier's information technology systems.
The airline has entered into an agreement with Accenture to facilitate these changes, which Qantas CEO Vanessa Hudson described as a response to "unprecedented" technological disruption. The company stated that the integration of artificial intelligence was a key factor driving the decision to modernise its IT infrastructure and systems.
This restructuring by Qantas represents the third significant corporate layoff initiative announced in Australia within a three-week period. It follows similar restructuring moves previously flagged by the design firm Canva and the National Australia Bank, indicating a growing wave of disruption impacting the Australian workforce.
Under the new arrangement, some corporate functions will be outsourced to Accenture in both India and Australia. The initial round of job reductions is anticipated to occur by mid-2027. While Qantas cites technological advancements as the impetus for these changes, trade unions have criticised the airline, alleging that the company is reneging on prior commitments against offshoring jobs.
Reporting by the The Indian Morning Post Editorial Desk.
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