Malaysia Airlines aims to shed almost a third of its work force under plans to cut unprofitable routes and return to the black.

Under a shake-up of domestic routes, the government announced that Malaysia Airlines would operate just 19 domestic trunk routes with 96 others being handed over to the country's low-cost carrier, AirAsia.

The rationalization of domestic routes would require the loss of around 6,500 jobs from Malaysia Airlines' work force of 23,000 and a reduction in its fleet to 21 from 40, the airline said.

"The news on shedding jobs and reducing aircraft is positive for MAS," Ngu Chie Kieng, head of research at local brokerage TA Securities, said on Tuesday.

Malaysia Airlines is trying to overcome a crisis brought about by stiff competition, lower fares, rising fuel prices and its traditional role as a full-service carrier with a big and increasingly unprofitable route network.

Last month, it reported widening losses and said it would raise a USD$1.1 billion cash lifeline and increase local fares for the first time in 13 years to return to profitability next year.

AirAsia may buy six to eight aircraft from Malaysia Air, AirAsia chief Tony Fernandez said on Tuesday.