From another thread:
A friend and I were discussing the numbers last week and they make interesting reading, the exchange rate is the big killer and the 'cost neutral' scam; otherwise we would be doing pretty well. The totals are as follows, there are no allowances/per diem so to speak of.
In 2000 a starting Captain made (including pension 12%):
315840 AED Salary and pension
21692 Profit Share (4 weeks)
337532 Total = $92,000 or 59,000GBP (1.55 rate)
In 2008 the same guy got:
399840 AED Salary and pension
96115 Profit Share (14 weeks)
36000 Flying Pay (800hrs/year)
531955 Total
The 'cost neutral' cost 20% credit so this factored for the same work in 2000 (In 2000 at the current workrate we would have had serious O/T):
425564 AED = $116,000 = 58,000GBP (2.0 rate)
If you worked on conservative average inflation of 8% since 2000, the dollar amount to match 2000's salary would be:
$170,000, in comparison the starting guy actually got $145,000 for 20% more work. So even with the bumper profit share, if you came from a dollar based currency, the decline over that period was 17% salary for 20% more work, or from GBP neraly 30%.
So whilst I am delighted to take the profit share, I still would have preferred our base terms and conditions to have returned to 2000 levels rather than the one off bonus which will probably not be repeated. Other sectors have had raises of 70% this year or more (including ATC) to try and make the package truly competitive at todays prices. That is why the old timers are cynical; they know that the 14 weeks has been generated by increasing their productivity and pay lagging inflation over the last few years.
Actual EK 777 Base Salary, without pension added in is 357,000AED.
In comparison starting Captain Salaries USD/HR
based on the links below:
Cathay $198
Virgin $190
United $176
Delta $175
Dragon $163
.
.
(EK with Profit Share $157)
BA Short Haul $142
.
.
Emirates (Calculated like all the others) $122
http://askcaptainlim.com/content/category/8/33/78/
http://airlinepilotcentral.com/airlines/legacy.html
That didn't include the EK Profit share but then again, it doesn't include 13 month salaries, profit shares or flying pay, per diem etc etc etc for the other carriers.
If you want to get into that game, you realise where the profit share came from. Just one example, an EK pilot gets $12/hr, VS $52/hr. At 800hrs/yr: EK=$9600, VS=$41600, guess what, the difference is bigger than the EK profit share.
The next thing to be raised will be the tax argument. All I'd say is that it is valid, but so is the argument that you can live where ever you want if you work for say BA/VS. You don't have to live in London or NYC and pay those prices, working for EK there is no choice and living in Dubai is now pretty much eroding many of the tax free gains. If you are lucky with 'free' accommodation, it is a definite plus, if you end up in 'temporary' accommodation in some of the places being offered now a big minus. If you can't stand it and move out, deduct $3k/month from your salary for the cost of your housing over and above your allowance.
So what does all the statistical bunk mean. With the bumper profit share EK came to the table this year but I'll take a bet we don't get the same profit share next year. I'll take a bet we don't match inflation in the medium term. EK is not the worst job in the world but whilst I am still delighted to have got the cash I do not understand why the senior managers feel they can't tell the truth. If it really was such a good deal, the facts would stand alone.
If you join EK based on our profit share, as the financiers say "past performance is not a......." Prepare to be disappointed!
Ghost