PPRuNe Forums - View Single Post - Are QF's cost cutting targets unrealistic?
Old 25th Apr 2005, 05:22
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rammel
 
Join Date: Apr 2002
Location: Australia
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Are QF's cost cutting targets unrealistic?

I ask this question as I have heard from a number of people in different departments of the amount that they want each to cut. Some of the numbers I have heard seem to be in fantasyland and I am pretty sure are unachieveable.

There have been rumours that BD's demise in Engineering was to do with the amount they told him he needed to cut and he was honest in saying that it may not be possible. I have heard this from people in different engineering sections so I am thinking there may be some truth in the rumour. I support the LAME's in there stand as most other non-skilled areas signed their EBA's to hopefully outlive the Howard govt. The LAME's have skills which can not be replaced overnight so good luck to them.

Also on cost cutting I have a large dollar figure quoted for the amount they want cut from MEL airport. Have the accountants not figured out that if you have more flights in peak times that you need more staff to handle said flights. The only way I could see saving money at an airport would be to operate M-F between the hours of 0800-1600 so you do not need as many staff and you don't pay penalties.

Finally I can see the airline being so micromanaged that it will lose money and contracts because one area of the company may not make much money if any from a contract (eg ground handling)and they will not renew that contract. This in turn may or will hurt another area in the company who makes a tidy profit with the contract (eg engineering) and the company that the contract is with will walk away from everything.

All of this is because no one seems interested in the overall picture, just their own bonus level. These are just my observations please feel free to correct me if you think I am completely off track.

Sorry for the rant but I am just getting more and more pi$$ed off with this place as the time goes on.

Rammel
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