Australian flag carrier Qantas has announced that it will be retiring its whole fleet of 747 aircraft and making 6000 job positions redundant as the carrier strives to cut its expenditure by A$15 billion over the next 3 years.
The most impact by cost cutting measures will be felt among Qantas employees with lay off of close to 20% of its work force. The airline has said to be keen on bringing more employees back when the travelling restrictions will be lifted. Currently, Australia has closed its borders with possible reopening date reaching as far as mid-2021.
As a way to cut costs Qantas has chosen to retire its entire fleet of 6 Boeing 747 aircraft immediately. The withdrawal from service will see aircraft leaving around a half year earlier than previously expected. Also, 100 aircraft will be grounded for at least 12 months, with Airbus A380s being parked for even longer periods of time.
Project Sunrise has been put on hold until industry recovers and airline is found in more stable position.
“This year was supposed to be one of celebration for Qantas. It’s out centenary,” Joyce told. “Clearly it is not turning out as planned.”