Grafa
Qantas considers outsourcing 1,000 roles to India
Image for illustrative purposes only. Not a real photo.

Qantas considers outsourcing 1,000 roles to India

Share
  • Qantas is reportedly in discussions to outsource up to 1000 back-office positions to India.
  • The airline aims to offset $15 billion in fleet renewal.
  • The initiative uses artificial intelligence to overhaul administrative functions while expanding local Australian operational jobs.

Qantas Airways (ASX:QAN) is reportedly negotiating with Accenture (NYSE:ACN) to outsource up to 1000 back-office roles to India under a plan named Project iQ.

The proposal follows the airline reporting an underlying profit of $15 billion on new aircraft.

A Qantas spokesman confirmed the early-stage discussions, with a decision on the initiative expected later this year.

Qantas stated that its annual wages bill grew by $60 million following industrial relations changes, prompting measures to generate cost savings.

Following the announcement, the Qantas share price was unchanged at $10.32.

CEO Vanessa Hudson previously allocated $230 million towards customer service improvements to rebuild sentiment after taking leadership in 2023.

Other major domestic companies including Woolworths (ASX:WOW), National Australia Bank (ASX:NAB), and Telstra (ASX:TLS) have recently executed similar offshore staffing arrangements.

Frequently asked questions

Grafa is not a financial advisor. You should seek independent, legal, financial, taxation or other advice that relate to your unique circumstances.

Grafa is not liable for any loss caused, whether due to negligence or otherwise arising from the use of or reliance on the information provided directly or indirectly, by use of this platform.