Massive changes at Qantas
Australian airline Qantas has announced a huge shake-up of its operations designed to cut costs by Aus$1billion over two years.
The airline, which is due to announce its full year results next Thursday, has been badly hit by the SARS virus and global downturn. It has already announced 3,000 job losses and placed aircraft orders on hold.
The latest plans will see Qantas split its operations into three units: flying businesses, flying services (including engineering, maintenance and airports), and associated businesses (including catering, freight and Qantas holidays). Each unit will have strict performance targets.
Chief executive Geoff Dixon said: “I am confident that this project, when fully established over the next 18 months, will greatly improve our performance in all areas, allow us to compete more effectively, protect jobs at Qantas and, importantly, deliver better service to our customers and more fulfilling jobs for our people.”
Meanwhile the airline is continuing its efforts to take a 22.5% stake in Air New Zealand.
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