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Old 16th Aug 2001, 12:20
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SKYCAMEL
 
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Keg I doubt very much it will be Qantas flight deck crew. Not when there are plenty of guys out there who would be willing to earn less than the pilots at Q. Anyway will be interesting to see what happens. Just got this off the Age web site:

Qantas confirmed today it was pushing ahead with plans to start a budget international airline, flying to seven regional ports by July next year.

Qantas chief executive Mr Geoff Dixon said the low cost carrier would have economy and business class seating only but would be linked to the airline's existing frequent flyer loyalty program.

The announcement came as the airline posted its lowest profit since its share market listing began. Its full year net profit was $415 million, almost 20 per cent less than last year.

Mr Dixon did not give details of how the low cost airline would operate, but it is likely costs will be kept down by using a heavily non-unionised workforce, some contract labour, basing flight stewards offshore and multi-skilling of employees.

The new airline would fly on routes including China, Canada, Korea, Malaysia, Greece, Tahiti and parts of Japan.

Qantas has pulled out of some of these routes in the past two years citing cost pressures.

The new airline will have a different name and a distinct livery which have yet to be announced, and will not duplicate routes served by Qantas' premium service.

Mr Dixon did not reveal how the startup airline would be funded but market analysts have indicated it would commence operations with an injection of $400 million. Some of the funds would come from Qantas and the rest from the market.


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