Qantas Airways, Australia's national carrier, is reportedly considering offshoring up to 1,000 corporate roles to India as part of a sweeping cost-reduction and artificial intelligence-led transformation drive, according to an analysis by The Australia Today. The initiative, said to be known internally as Project iQ, is still in early stages with no final decision taken, the airline has confirmed.

What Project iQ Involves

The proposed programme reportedly involves discussions with global consulting firm Accenture and could result in the offshoring of functions spanning marketing, finance, human resources, and other back-office operations. Qantas has acknowledged the early-stage talks with Accenture but has stressed that outcomes remain undecided.

The project is being led by Rachel Yangoyan, Qantas's Chief Technology, AI and Transformation Officer, with direct involvement from Chief Executive Vanessa Hudson and other senior leadership, according to reports. A final decision on the scope and scale of the restructuring — including the precise number of roles affected — is expected later this year.

Union Concerns Over Australian Jobs

The prospect of moving corporate functions offshore has drawn swift pushback from organised labour. The Australian Services Union (ASU), which represents a significant share of Qantas's corporate workforce, has said it is deeply concerned about the impact on local employment and has urged the airline to honour its commitments to Australian workers.

The union has argued that replacing experienced in-house employees with offshore arrangements and AI-driven systems risks degrading service quality and eroding the institutional expertise that underpins airline operations. Critics argue the move could set a precedent for other large Australian employers weighing similar strategies.

Qantas Defends Its Technology Strategy

Qantas has pushed back against the characterisation of Project iQ as a headcount-reduction exercise. The airline maintains that its technology transformation is broader in scope and notes that it has added thousands of jobs in Australia in recent years — including pilots and engineers — with operational hiring expected to continue.

Chief Executive Vanessa Hudson has previously spoken about AI's potential to enhance aircraft maintenance, customer experience, and operational performance across the aviation sector, framing technology investment as a tool for growth rather than replacement.

Broader Trend Among Australian Corporations

Qantas is not alone in exploring offshore and AI-enabled models. Retailers Woolworths and Officeworks, as well as telecom giant Telstra, have each pursued initiatives involving offshore services and technology partnerships in recent years, reflecting a wider structural shift among Australian corporates seeking efficiency gains in a high-cost domestic labour market.

This comes amid growing global interest in India as a destination for high-skill back-office and technology functions, with multinational firms increasingly viewing Indian talent pools as a cost-effective and capable alternative to domestic corporate staffing.

What Happens Next

A definitive announcement on Project iQ — including final role counts and timelines — is expected before the end of this year. The outcome will be closely watched by Australian labour unions, industry analysts, and India's business process outsourcing sector alike.