Australian firms face AI washing claims over job cuts

Australian unions and experts accuse major companies like Qantas of AI washing. Firms are allegedly blaming artificial intelligence for layoffs while actually cutting costs and shifting jobs offshore.

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A Qantas plane takes off at Sydney Airport in Sydney, Australia, November 6, 2026. REUTERS/Jeremy Piper

Australia's blue-chip companies are cutting 850 jobs and shifting operations offshore under the banner of artificial intelligence, sparking accusations of AI washing. The practice masks broader cost-cutting measures behind tech transformations as unions demand transparency. Investors face growing scrutiny over corporate restructuring claims amid slowing economic growth and high interest rates.