(Adds CEO comment, background) Aug 3 (Reuters) - Qantas Airways...

(Adds CEO comment, background)

Aug 3 (Reuters) - Qantas Airways Ltd (QAN) said on Tuesday about 2,500 employees would be stood down for two months, as fresh COVID-19 restrictions across Australia keep a lid on domestic flights.

The decision will directly impact domestic pilots, cabin crew and airport workers, mostly in New South Wales, the airline said, adding that no job losses were expected from the move.

"Qantas and Jetstar have gone from operating almost 100% of their usual domestic flying in May to less than 40% in July," Chief Executive Officer Alan Joyce said in a statement.

The rapid spread of the Delta variant off the coronavirus has forced Australia to lock down large parts of the country with New South Wales, of which Sydney is the capital, particularly hard hit by infections.

"Hopefully, once other states open back up to South Australia and Victoria in the next week or so, and the current outbreak in Brisbane is brought under control, our domestic flying will come back to around 50%-60% of normal levels," Joyce said.

The airline said employees of Qantas and Jetstar business units to be stood down will be given two weeks notice and continue to be paid until mid-August.

Last year, Qantas axed at least 20% of its workforce and raised billions of dollars in cash under a sweeping cost-saving plan prompted by the pandemic.