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Old 9th Dec 2016, 18:43
  #98 (permalink)  
Tuck Mach
 
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A standard IR play to circumvent contracts and indeed unity is to introduce different scales at each and successive EA 'negotiation'. Generally it will not affect the incumbents only those either new to company or new to fleet. Whilst there are several different contracts in Flight attendant ranks, often on the one aircraft it is myopic to suggest it is not the case at major airlines.

  • Qantas has different pay scales on the 737
  • Qantas has Jetconnect pilots doing previously Qantas flying on the 737
  • The next EA will do the same as it did previously, a new scale for new fleet joiners (selling off the not yet born!)
  • How may pay scales has CX got these days?


There is a pilot shortage, based purely on aging demographic, aided by IR policies to drive down terms and conditions, stagnate career paths (think Alliance at VAH, Cobham, Jetconnect and of course JQ at Qantas) and of course the cost (barrier to entry), the wages on offer and the return expected.!


The demographics at play affect all western economies. A result of population explosion following World War 2, this has been baked in for a long time now. Ever wonder whilst you in Australia keep seeing the pension age rise, the pressure on Australia's (and most western countries') welfare, hospital and respite care systems will grow as this demographic moves into retirement.


Pilots are a global commodity, there may be a penchant for some Ex-pat Australians to return home and 'undercut' (as implied in other posts) but organised labour have ignored the demographic tsunami , which to me is an epic failure.. The hastily convened 787 contract at Qantas, may prove a low water mark. No wonder Joyce claimed a 30% saving! As the market is global, movements to a new abode en-masse generates a shortage elsewhere.


  • There remains the demand
  • The shortage is across all western economies and affects all industries
  • Birth rates have declined in all western economies in the last decade, meaning economies are not replacing their work forces with sufficient tax serfs!
  • Certain carriers are now 'testing the market' offering new hires more $, whilst quietly keeping existing pilots on existing conditions.
  • The supply of new pilots is insufficient by many forecast models to arrest the retirements expected (demographically)
Here area few articles to consider:


https://skift.com/2016/06/30/even-as...ilot-shortage/


https://skift.com/2016/10/14/delta-c...raises-anyway/


https://www.flightglobal.com/news/ar...will-c-429621/


https://www.bloomberg.com/news/artic...rlines-on-edge


American Airlines Combats Pilot Shortage (AAL) | Investopedia


Southwest Airlines pilots' pay to soar 30 percent by 2020 under newly approved contract | Southwest Airlines | Dallas News


To me it would appear that fact outweighs opinion. The reality is that globalisation works two-ways. Airlines love when they can't continually drive wedges between work groups, open endless green field operations, import foreigners (457 visa), but sadly they detest that globalisation works two ways and pilots can also arbitrage their skill set internationally.




Pilots are a global commodity and to suggest there is no shortage ignore the structural issues emerging in literally every western economy.
Tuck Mach is offline