It announced plans to cut up to 2 and a half thousand more jobs on Tuesday (August 25).
The airline said they would outsource its Australian ground handling operations to lower costs as it braces for a revenue hit of over 7 billion US dollars (A$10 billion $US7.17 billion) due to the pandemic.
Head of domestic operations, Andrew David said the outsourcing would save an estimated 700,000 US (A$100 million) dollars a year.
It would also allow the airline to avoid investing that same amount in equipment like bag loaders over the next five years by outsourcing the work, but no firm was been named a tipped to be picked for the outsourcing.
Most of the airline's ground employees have been stood down for months and are receiving government aid due to the drop in demand for travel.
After the news, Qantas shares bounced up 1.7 percent in the afternoon.
