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AAP Qantas is cutting 167 jobs from its engineering division as it continues its cost-cutting program.

Qantas is cutting 167 jobs from its engineering division as part of the embattled airline's ongoing turnaround plan.

Workers affected by the cuts are based in Sydney and Melbourne and are a mixture of engineers and back office staff.

The cuts are part of 5000 jobs the airline announced in February it was shedding as part of a $2 billion cost-cutting program over three years.

At the time, Qantas flagged it would make more changes to its engineering division to reflect its reduced workload.

Qantas Domestic chief executive Lyell Strambi said the airline did not need as many engineering staff as it was retiring older aircraft and buying new planes requiring less maintenance.

"While any job loss is regrettable, we have worked with our employees and unions over the past five months to reduce the number of compulsory retrenchments through voluntary redundancies, job swaps and redeployment - and we will continue to do so where practical," he said in a statement on Tuesday.

"We are working with our employees throughout this difficult time and will be providing as much support as we can, through career transition services and employee assistance programs.

"People will be provided with generous redundancy packages."

Qantas has so far shed 2200 jobs, including catering, freight and air and ground crew positions.

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Qantas sheds 167 engineering jobs

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When the green-roofed 17th Street Farmers Market is taken down, it wont be going to the scrap heap.

Where the local landmark will end up is uncertain, but it could be in about 15 pieces in multiple places.

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Jessica Hume, National Bureau Jul 4, 2014

, Last Updated: 6:09 PM ET

OTTAWA The U.S. ambassador to Canada says his main priority is "enhancing the bilateral relationship between our two countries" and observers say Bruce Heyman has his work cut out for him.

Heyman, speaking ahead of a Fourth of July party at his official residence, assured that Canada's relationship with the U.S. is "complex, enduring" and that he is "trying to find a place where we can together find resolutions and move on."

"I want to listen," he said.

But his comments belied the frosty and often frustrated relationship of late, where the feeling north of the border is that the American administration has dropped the ball on issues most important to Canada and Canadians.

"I've never seen things as bad as they are today," economist Jack Mintz told QMI Agency. "In the past it's been us -- there's some anti-American sentiment here -- but lately it's all on them."

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U.S. ambassador sheds no new light on shaky Canadian, U.S. relations

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