2014 EK Profit Share (non)Expectations

[Panther 88]

Just read the latest EK News from Sir Tim about how tough a road 2013/14 has been especially with regard to fuel prices and an overall load factor of 80%.


I am a bit confused about this. Seems that the Delta CEO came out explaining their $2.7 BILLION profit was partially due to the much lower fuel prices for the year. Despite their losing over 100 million from their oil refinery. And their employees should enjoy about an 8.5% profit share (about four weeks for 65000 employees).


I'm sooo confused......or am I?

[HighLow]

Some people like IATA, are not so confused and they quote a recent report an interesting trend in Jet Fuel Prices during the last 12 months.

So one can only surmise that companies who are reporting "a struggle with rising fuel prices" must be paying over the odds, (also when hearing airline executives making these statements about increased fuel expenditure, who actually reckons they also take into account important factors such as expanding route networks)
"More Flights result in , hello...... MORE FUEL".

https://www.iata.org/publications/economics/fuel-monitor/Pages/price-analysis.aspx

[flaphandlemover]

Always the same...
half year announcement:
We made a record profit for the first half year. We are so good blablablabla
Year announcement:
It was a tough year. Very challenging. Lots of competitors bit the dust. At least we survived. Fuel prices where just too much for us. We calculated on one dollar a Barrel. But it went way above 80..
Unfortunately we did not reach the profit target( which by AS was very realistic).

As a good will we give you a salary increase of 0.2 percent.

Next years Target is realistic and we will reach it with all your effort...
😔😔😔

[cerbus]

Who in their right mind believes anything that comes for EK management?
They lie so many times no one can trust them.
Having said that this year we might get something. The reason I say that is so many pilots are leaving. 75 pilots in the last 3 months with plenty more to come.
The recruitment sim pilot said on a recent batch 4 pilots crashed the sim out of a total of 10 pilots. He said that is indicative of the talent coming to interview. Shocking! Does EK want to put these pilots in the cockpits?
So with the hiring pool drying up and scary and so many pilots leaving we might get something. It won't be what we deserve but it might be something.

[jack schidt]

Emirates had, still has and will continue to have a clear strategy regarding employees. It has been made clear beyond doubt and people just can't seem to understand it's the way it will be forever from now and that is....

YOU GIVE MORE AND THEY TAKE MORE

It's the perfect business model and they don't give a damn, infact they laugh at how employees put up with it. You go against that business model and you are out, they know you have no rights and they have 100% control. Simple, effective and that's how it is, someone tell me and explain to me if that is not the case.

[sluggums]

Cerbus; 15 pilots have left in the last 2 months, so 75 in 3 seems unlikely...?

[Woopoops]

I believe there will be nothing this year with excuse of RW closure and they actually don't need as many of us flying during that time. That in turn might push a few more of us into getting serious about going somewhere else. And if the number of people left/leaving is big enough next year, plus there is trouble hiring, then the patch work will start with the p/shear and the possible half decent payrise.

[ekwhistleblower]

Whilst we have been operating in challenging conditions and struggling to meet our targets I do have some good news to pass on.

First Wave punctuality is at an all time high of 72% which cascades all the way to the 93rd wave with improved punctuality of 0.4%.

Uniform returns are down to an all time low at 2% bar the wings which achieved 101% return but the snazzy new plastic ones are sure to be more popular.

Our new lanyards are receiving rave reviews in the international press, we have been put up for "Best Stringed ID Card" by the Arabian Business Spectator.

Fiscally, fuel prices are down and load factors up which should allow us to announce a stupendous new sponsorship deal, bonuses for the managers, a dividend for the owner and a bumper pay rise for the crew which to ensure it is fair will be directly proportional to 93rd wave punctuality.

Seriously, I'd be astounded if we didn't get anything so 5+3% and a 6 week profit share!

(See next post EKWB is astounded)

[Old King Coal]

http://www.youtube.com/watch?v=mBS0OWGUidc

[allaru]

Airline pilot career Captain Airbus A380 Japan Pilot Hiring (http://www.pilothiring.com/pilot-jobs/A380-Captains-6633.html)

[fatbus]

No profit share , that whole thing is done! If EK makes 1bil US and gives the staff nothing that tells me profit share is a thing of the past . 3% that's it.


Also, don't get started with this year is different , they are losing pilots and have to do something, I've heard from someone who knows someone who said the profit share is going to be ........ It's time to give it a rest.

[Rather Be Skiing]

This might be a management discussion about why we're 'lucky to have a job' because when they were line pilots....

https://www.youtube.com/watch?v=13JK5kChbRw&feature=youtube_gdata_player

[The Turtle]

Pay raise announcement could not have come at a worst time this year for management. Expect the crews to give extra right after a disappointing pay review? An interesting dilemma....this year, I hope they do the right thing.


10% would be about right. Covers inflation, and the bump in staff travel

[nakbin330]

For f*** sake! Stop whining. They don't care. They really don't.

[These seats are hard]

I agree with Nakbin 330 they really don't care if we leave or stay. They will always find someone to fly there shiney jets . If you get sick they will send you home and if you dont work hard you will get called in for a chat. Its the way it is

[TangoUniform]

True, they don't seem to be worried. To rub a little salt in our wounds. Take a look at pay rates in the states these days. A 5 year 777 captain here, including the housing allowance, makes the same or less than a 5 year 737/320 at the majority of major airlines in the US. Also about $50k less than a 777 skipper. With close to 18,000 pilots retiring in the next 10 years in the US, 5 year captains will be the norm for the next few years. Whether we like it or not, the US pilots make up around 12% of the pilot group here.

If EK wants to position themselves as the iconic brand name throughout the world, they need to truly embrace their employees of all levels. It's the employees, as we all know, that makes a service entity, not slick adverts and marketing.

We'll see.

[jack schidt]

Well said TangoUniform...

No matter how shiny the jets or how smart and golden the terminals are, the thing that makes the hardware work are the employees. No matter how comfortable the seats are or the bar areas and even having a shower in flight, without dedicated employees all that is worthless.

As a decade + employee, I feel that the squeeze is begining to tighten on EKs recruitment prospects. I hear that a pilot recruitment session in Italy recently saw only 3 candidates bother to turn up!

To those thinking about coming, be very very careful now what you wish for. The honeymoon soon ends and the reality soon kicks in. Shiny BIG jets are nice, but all the rest of the promises will not be met, I guarantee that will be the case.

[Woopoops]

Jim O'Sullivan, chief US economist: nominal labor compensation is rising at about a 4% annual rate. Subtract the 1.5% inflation, and you get real earned income growth of about 2.5%.

What do we have here: labour compensation rising 3.5% and not necessarily annually, subtract, let say 9% inflation, and you get real earned income growth of -5.5%. Lovely, isn't it.

[Outatowner]

The word from the office is 10 weeks.

I've just spent mine on a flash new set of wheels from one of the local auto dealers. I get satisfaction from helping support the local economic merry go round.