Wage Fixing
Price fixing is an illegality which Airlines have been punished for in the past. Is wage fixing legal?
It is clear that in China, the middle east and Asia that major carriers have agreed a cap on experienced Captain Salaries. These carriers accept a shortfall of Captains without increasing wages to meet the demand. This is of course due to the fact that there is only a limited number of Captains available and that fixing salaries is more cost effective than free market competition for Pilots.
Certain CEO's have said in the past that in their view the market should be allowed to set the wages for Pilots, this of course only applies to a glut, during a shortage fixing is the best option.
The reason I make this observation is that wages in each of these regions are so entirely similar.Imagine the outcry if Investment Bankers or CEO salaries were being fixed.
Last edited by polax52; 7th Jan 2015 at 11:47.