March 25, 2009 / 3:26 AM / 11 years ago

UPDATE 1-Australia's Qantas to cut 90 senior jobs

* Qantas to cut 90 top management jobs

* New cuts are on top of 1,500 job cuts announced last year

* Most job cuts to come by end April (Adds details)

SYDNEY, March 25 (Reuters) - Qantas Airways Ltd (QAN.AX), Australia’s top airline, moved to rein in costs with another round of job cuts, this time targeting its senior management team, to help it ride out the global financial crisis.

Qantas will shed 90 top management positions adding to 1,500 job cuts announced last year, it said on Wednesday.

The airline said in a statement it would a maintain a salary freeze and make a number of role changes for remaining managers.

“Starting today, we will be making some longer term organisational changes to the management of the Qantas Group to develop a leaner, more fast-moving organisation,” Qantas Chief Executive Alan Joyce said in the statement.

Most of the job cuts announced on Wednesday would be achieved by the end of April, a source briefed on the situation told Reuters. The cuts announced last year also included some senior management positions, the source added.

Qantas did not say how much the latest round of redundancies would cost.

Airlines around the world are grappling with slumping demand as business and leisure travellers cut back amid the tough economic times.

The International Air Transport Association (IATA) sees the global air transport industry posting a loss in $4.7 billion in 2009, up from its previous estimate of a $2.5 billion loss, reflecting the deterioration of global economic conditions.

That comes on top of an estimated $8.5 billion loss last year.

IATA said on Tuesday that industry revenues are expected to fall by 12 percent to $467 billion, worse than the drop seen after the Sept. 11 attacks in the United States.

Shares in Qantas, one of the few airlines in the world still making a profit, added 0.9 percent to A$1.77, in-line with increase in Australia’s benchmark S&P/ASX 200 index . (Reporting by Denny Thomas; Editing by James Thornhill)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below