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Old 22nd Jan 2019, 19:37
  #83 (permalink)  
Rated De
 
Join Date: Sep 2017
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The saying of "Biting the hand that feeds you", comes to mind, Justin and the tables have turned now, with no "untapped labour market" to get 457's for the global pilot shortage; huge drop in applicant experience levels; pending retirements; Cadet Schools that can't get off the ground; aging and breaking fleet... the list goes on.
As the established airlines in Europe and the USA are fast learning, globalised labour works both ways.
They have also realised, albeit it belatedly, that their traditional adversarial employee relations model is not going to continue to attract sufficient applicants.

There is, rest assured, a lot of navel gazing in airline administrative offices world wide as the dawning realisation that unlimited supply of pilots is a thing of the past.
In the USA, the 1,500 hour rule is sighted by airlines, in a classical denial as the reason for the shortage, yet it is their own behaviour that actually, when combined with declining demographics (higher retirement rates) created the problem.
Faced with terms and conditions repeatedly hacked by aggressive management, huge self funded training costs and poor returns on a person's investment in both time and money, many potential pilots never even started the journey.

As Herb Kelleher remarked,

'A company is stronger if bound by love, rather than by fear'

Remuneration is part of the equation, airline management have hacked into labour unit costs with vigour. Respect for all staff, concern for well being and a shared vision that is lived were the bits of Southwest airlines like Ryan Air and Jetstar didn't bother with, yet they actually cost nothing. This is why although the labour unit cost at Ryan Air is lower than Southwest, the TFP at Southwest is higher.

Sincerity can't be faked, thus to dismantle whole offices and procedures all designed to keep the jack boot on the throat of pilots, engineers or ramp staff is no easy task. This takes time if there is an appetite for change.
At Qantas with Mr Oldmeadow dug in like a tick and a huge headcount in HR/IR this requires strong leadership to undo. Little Napoleon is not big enough to do that job. Fish rot from the head, he has set the tone for executive communication norms for over a decade.

Thus, given the shortage grows daily, in the short term, the only way airlines will attract an increased number of applicants with less global supply is to increase remuneration. That Qantas have attempted to induce supply with the expected responses, like flying schools and quietly lobbied for skill shortage visas is amusing as it has not done anything to alleviate the shortage. That the AFAP recognise it, the pilots recognise it and indeed worldwide the industry knows it, is encouraging.
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