
Qantas considers outsourcing 1,000 roles to India
- 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.