Rex; Pilot Exodus
apache.........
You asked:
I'd have to say 'YES', and it's not because supply has caught up with demand, but because demand has slowed very rapidly due to the present mind-boggling high price of oil.
I think the present 'crisis' though is more than just a speed hump, and that it's going to be a relatively drawn-out affair, with quite a number of airline casualties. It's already happening in the US, and there are signs of 'airline stress' starting to emerge in our market now as well.
Oil prices just keep on rising, and Brent Crude is now >US$145/barrel. Which sort of negates the REX $4 fare surcharge that it imposed as of yesterday in response to crude at US$140.
In a media release on 27th June 2008, the REX GM Network Strategy & Sales stated:
I'd be interested though in seeing what base oil price REX is using for its costings. I'd also be interested in seeing just how much more the market will 'bear' in terms of continual increases of fuel surcharges on top of price rises for just about everythinbg else before it says it doesn't want or simply can't afford REX's 'essential services', because it now regards the purchase other 'essential services' such energy to heat homes, health care, etc. as being a hell of a lot more important than air travel at the moment. 
The GM Network Strategy & Sales also commended REX for the 'tremendous efficiency gains' it had achieved over the past six years.
Oh dear, that can't be good!
From what REX pilots are saying, part of those perceived 'efficiency gains' over the past 6 years seem to have been at the expense of expected wage increases for the troops. So I guessing that with the latest price hike of oil more or less immediately negating the latest $4 fare surcharge, then the continued quest for 'efficiency gains' seems almost certain to ensure that there'll be no salary increases this time around too!
I wonder if it's now a case that those who have deferred their movement from underpaying companies may have perhaps left their run a little too late at this stage?
You asked:
do you REALLY think that the pilot shortage has ended ???
I think the present 'crisis' though is more than just a speed hump, and that it's going to be a relatively drawn-out affair, with quite a number of airline casualties. It's already happening in the US, and there are signs of 'airline stress' starting to emerge in our market now as well.
Oil prices just keep on rising, and Brent Crude is now >US$145/barrel. Which sort of negates the REX $4 fare surcharge that it imposed as of yesterday in response to crude at US$140.
In a media release on 27th June 2008, the REX GM Network Strategy & Sales stated:
'With the price [of oil] hitting $140 USD per barrel this week we have to react promptly to ensure the partial recovery of this cost for the essential service we provide.'
The GM Network Strategy & Sales also commended REX for the 'tremendous efficiency gains' it had achieved over the past six years.
Oh dear, that can't be good!
From what REX pilots are saying, part of those perceived 'efficiency gains' over the past 6 years seem to have been at the expense of expected wage increases for the troops. So I guessing that with the latest price hike of oil more or less immediately negating the latest $4 fare surcharge, then the continued quest for 'efficiency gains' seems almost certain to ensure that there'll be no salary increases this time around too!
I wonder if it's now a case that those who have deferred their movement from underpaying companies may have perhaps left their run a little too late at this stage?
Join Date: Oct 2002
Location: S/E Australia
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With oil now passing US$146/barrel on Fridays close, its not looking good. Another aspect that not many people talk about is the fact that Australia is lucky at this point in time to have its dollar near parity with the US'.
If the dollar drops, the price at the bowser increases.
If the dollar drops, the price at the bowser increases.
RYAN TCAD..........
Of real concern are the predictions of oil >$200 USB/barrel because of the present demand>supply problem.
There's comment that it may even go as high as $250USD (see the ninemsn article Oil prices blaze past record $US146).
Now that's REALLY going to hurt!
And if it gets to $250USD then no-one will even be able to afford to drive to the airport, let alone buy a ticket that includes a fuel surcharge component to cover that price!
Lucky you got your raincoats when you did KRUSTY. You'll be able to use them as hootchies if/when the Company cancels all the overnight hotel/motel accommodation arrangments for crews in its never-ending quest for further efficiency-gains!
Of real concern are the predictions of oil >$200 USB/barrel because of the present demand>supply problem.
There's comment that it may even go as high as $250USD (see the ninemsn article Oil prices blaze past record $US146).
Now that's REALLY going to hurt!
And if it gets to $250USD then no-one will even be able to afford to drive to the airport, let alone buy a ticket that includes a fuel surcharge component to cover that price!
Lucky you got your raincoats when you did KRUSTY. You'll be able to use them as hootchies if/when the Company cancels all the overnight hotel/motel accommodation arrangments for crews in its never-ending quest for further efficiency-gains!
