Australian airline Qantas has announced plans to eliminate approximately 850 jobs as part of a major technology and artificial intelligence (AI) transformation. The airline has signed a multi-year agreement with professional services company Accenture to modernise its back-end systems, business processes and data infrastructure, with some corporate functions expected to move to teams based mainly in India.
The restructuring will affect around 3% of Qantas’ Australian workforce of approximately 28,000 employees. The first changes are expected to take effect by mid-2027, with further reductions planned over the following years.
Accenture Partnership to Drive Technology Transformation
Under the agreement, Accenture will help Qantas simplify its corporate operations, modernise legacy technology and accelerate the adoption of AI and automation.
Qantas CEO Vanessa Hudson said the airline needed to respond to unprecedented changes in technology and AI. She added that partnering with Accenture would provide access to specialised data and AI skills that the company could not recruit quickly enough internally.
The airline currently operates with more than 1,000 legacy applications developed over several decades. Many of these systems were not designed to work together, creating complexity across business operations.
The partnership aims to connect these systems, improve operational efficiency and support faster innovation across the airline.
Which Departments Will Be Affected?
The initial phase of the restructuring will affect several corporate functions, including finance, procurement, human resources and marketing.
Some of the services currently handled by Qantas employees will be transferred to Accenture. These responsibilities will primarily be managed by its teams in India, with some work also handled in Australia.
The airline expects approximately 850 roles to be affected over the coming years. Qantas has said it will consult with employees and unions before final decisions are made and will attempt to redeploy as many affected workers as possible into other positions within the group.
Unions Criticise the Outsourcing Decision
The announcement has attracted criticism from Australian labour unions, which have raised concerns about the impact on local employment.
The Australian Services Union questioned the decision, claiming Qantas had previously indicated that the Accenture partnership would not involve moving jobs offshore. The union argued that workers should not bear the cost of technological transformation and called for greater investment in employee skills and career opportunities.
Qantas denied providing assurances that no jobs would move offshore, stating that it had discussed the possibility of transferring certain responsibilities to Accenture teams in India and Australia.
AI Transformation Reshapes Corporate Workforces
Qantas is among several major Australian companies announcing significant workforce restructuring amid growing investments in technology and AI.
The airline says the changes are intended to improve efficiency, modernise its operations and deliver better experiences for customers and employees. However, the move also highlights how AI adoption and outsourcing are increasingly changing the nature and location of corporate jobs.
Summary
Qantas plans to cut approximately 850 Australian jobs through a multi-year technology partnership with Accenture. Some corporate functions will move to teams primarily based in India, with the first changes expected by mid-2027. The airline says the restructuring will accelerate AI adoption and modernise legacy systems, while unions have criticised the impact on local employment.
