Further Capacity and Workforce Reductions at QantasLink

In the past few days and weeks, American Airlines, United Airlines, Air New Zealand, Qantas, Continental Airlines and Air Canada have announced significant reductions to their international operations. Now, the Qantas Group has confirmed additional capacity and network changes, focusing on QantasLink's regional operations in New South Wales and Victoria. The changes include:

- the accelerated retirement of QantasLink's six remaining Dash 8 100 36-seat aircraft by August 2008;
- the closure of QantasLink's Mildura maintenance base on 15 August 2008;
- exiting the loss-making Melbourne-Wollongong route from 18 July 2008; and
- the permanent withdrawal from previously suspended QantasLink services between Newcastle and both Melbourne and Sydney.

The Chief Executive Officer of Qantas, Mr Geoff Dixon said, "We will work closely with the affected staff in Mildura to minimise redundancies by offering alternative job opportunities at other QantasLink locations."

In the case of Newcastle, the Qantas Group will remain one of the largest operators through Jetstar's 56 services a week to and from Melbourne, Brisbane and the Gold Coast. QantasLink's affiliate partner, Aeropelican, also currently offers up to eight services a day between Sydney and Newcastle.

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