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Qantas to cut 2,000 ground staff jobs as it turns to outsourcing

With planes grounded, Qantas has to let go 2,000 of its ground crew.

Qantas will outsource over 2,000 ground staff roles in an effort to save about $74 million annually, leading to more job cuts after the 6,000 announced earlier.

The move would also help it avoid buying $59 million worth of ground handling equipment, such as aircraft tugs and baggage loaders, over five years.

Employees who would lose their jobs would get a redundancy package and support for transitioning to new jobs.

Despite its state governments lifting interstate travel restrictions, Qantas is still predicting more losses next year due to a drop in revenue of $7.4 billion.

The carrier suffered a $2 billion loss in August due to the pandemic and its associated border restrictions. It has also taken on an additional $1.1 billion debt for operational costs.

The International Air Transport Association (IATA) forecast airlines globally are to lose $157 billion this year and next.

Andrew David, the Qantas domestic and international chief executive., lamented that the damage to airlines around the world will take years to repair.

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