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Emirates Raises Staff Rental Costs 7 Days Newspaper Article

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Old 28th Apr 2006, 07:06
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Devil Emirates Raises Staff Rental Costs 7 Days Newspaper Article

Following link in the local 7 Days Newspaper

Could this be the same company that only last year acknowledged that rental increases were not excesive ?

Last year our Utilities Allowance only increased by a meager 10%.

Heres the article from 7 Days
Emirates raises staff rental costs

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Published on: Friday, 28th April, 2006 | Permanent Link | no responses


Emirates Airlines has been forced to raise the amount of rent its staff pay to live in the airline’s designated apartment accommodation.

In an internal memo to staff, obtained by 7Days, Emirates advised staff that a review of its rental policy for those staying at its EKI and EKII apartment complexes led to a decision to increase the amount of rent that new staff tenants will need to pay.

Emirates executive VP of human resources, Abdulaziz Al Ali, who issued the memo, was unavailable to comment on the move to increase the rents.

However, a spokesperson for the airline, which reported record profits of dhs 2.6 billion earlier this week, pointed out that the rent increases did not apply to its thousands of cabin crew, all of whom live in free accommodation.

Abdulaziz, though, noted in the staff memo, that the airline and its staff had become as much a victim of the emirate’s skyrocketing rental increases, as anyone else.

“Due to changing circumstances in the UAE we have seen significant increases to the Utilities Allowance provided to staff in order to try to off-set the increases in the rental market that many of our staff have faced.”

Clearly, Emirates no longer feels it can support the ever increasing rent hikes in the Emirate.

The memo also states that “the company has had to balance the need to provide affordable accommodation to our staff whilst at the same time ensuring we provide a reasonable rental level to help manage the costs to the company.”

Emirates employs more than 26,000 staff around the world.
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Old 28th Apr 2006, 09:59
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Where are EK1 and EK2 towers?

Presumably, these employees are already paying their own rent?

How do we know that the increase announced exceeds the company allowance?

I thought this article was a bit fuzzy on the issues...

anybody got a better handle on this?
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Old 28th Apr 2006, 10:22
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EK 1 & 2 is low cost accommodation for the lower grades within EK (1-6, I think). They were announced about 4 years ago or so. Problem is the hardest hit by the inflationary nature and lack of generosity of our company are the people in these lower grades. Guess we will be even more under-resourced now.
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Old 28th Apr 2006, 10:49
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Devil Extra Extra....

I agree the Article is fuzzy. The point is that even those in the lower grades of the company are jacked off enough to send the memo onto the press, even though the company came out in the last newsletter with front page headlines saying do not do this.

The company announces yet another record profit however this has yet to translate into a genuine pay increment for all Emirates Employees.
Imposable to get an accurate figure on Inflation in Dubai due to the Government and EK not taking into account Rent and housing figures however I don't need to read the newspaper to realize that my salary is on a continual slide in real money terms.Now the $US is dipping again there goes more of my real world spending money...
The publicity in the press may be viewed by the company as something they would rather keep behind closed doors however its been months and months since we have had any dialog with our Flight Management and If the past is any thing to go by we wont be hearing any thing of substance at all.
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Old 29th Apr 2006, 04:18
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Where are EK1 and EK2 towers?

What 'towers'???

These are 'ghettos' in Al Qusais Industrial Area where staff in grades 1 to 8 (including many Dispatchers) live. At present they are topping up the allowances they receive to pay the rent if they are in two/ three bedroom units.

It has now become apparent that the company is trying to move the G 6-8 staff out of these blocks by introducing punitive pricing. For instance all dispatchers now have to pay for a three room apartment, even if they live in a one-room unit. Mechanics have been told that they will lose 'family status' soon and will be asked to share apartments.

Yes, guys, there are lots of hardworking skilled people down the line wondering how much longer they can take it, especially now that the situation in Asia is improving.

The shiny new machines need to be maintained and loaded too.
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Old 29th Apr 2006, 05:12
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Arty Craft,

You are absolutely correct in what you say and I would like to add that we, the pilot group, certainly apperciate that your deal is also being degraded. The only reason that we do not start talking about the deteriorating terms and conditions for the other grades is that this is a pilot forum (although you aer more than welcome!) and as such we tend to get wrapped up in our own little world. But please believe me when say that during those long 12-14 hour flights we do discuss many things including the fact that this airline seems to have lost its touch when dealing with people, those very people that have given the airline yet another record breaking profit.

You and your colleagues are not forgotten during our conversations, when we discuss the falling terms and conditions, quite often we add that we, the pilots, are relatively lucky.

I do not know what it will take to get the airline to realise that its greatest asset is its people and that those people are generally all pissed off now. Maybe it is EK, maybe Dubai, but to continue working here, 5 weeks was just not enough. A payrise and increase in the accommodation allowance is badly needed to just get us back to where we all were, that is before we even start to get happy again.
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Old 29th Apr 2006, 05:19
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You and your colleagues are not forgotten during our conversations, when we discuss the falling terms and conditions, quite often we add that we, the pilots, are relatively lucky.
Very true. Arty, you are not forgotten by us and we all feel that we are in same boat regarding Ts & Cs. Assuming, of course, that you are either a despatcher or mechanic, you could just be a very empathetic pilot! Although they are rare....
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Old 29th Apr 2006, 09:09
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Devil Dont hold your breath

Did you read the Chairman & Chief Executive HHSABSAM report in Safar Magazine which says on age 5 "Unit Cost Improvement vital to achieve target"

Despite all this,it is imperative that we continue to strive to lower the unit costs and raise productivity across the emirates Group by chaallenging existing practices and processes so that the overall cost growth remains below the actual increase in capacity measured in ATKM next year for the airline and similiar key cost indicators in DNATA. This will set us apart from the competition and sustain the cost advantage
I did my 100 productivity with over 900 hrs guess they must mean we have to do more hours next year....geez Im getting that warm fuzzy feeling inside again....
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Old 29th Apr 2006, 10:31
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The last time he said that we ended up getting our "cost neutral" changes to the credit scheme. Which as we all know was in fact a substantial pay cut.

I am not optimistic about a payrise anymore.
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Old 29th Apr 2006, 17:00
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EK Pilot and SecurID

Thanks guys.
I should tell you that the guys on the floor really appreciate the fact that despite all the issues you guys face you are still very curteous in your dealings with us and understanding of the many issues we face as we struggle to turn the aircraft around.
Sure we do come across the occasional pilot who seems to be having a bad day but what the heck, reading what's on Pprune I'm surprised that it is a rare exception rather than the rule.
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Old 29th Apr 2006, 18:32
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The problem is the company just wants bums in seats, for many of the other (non-flying) operational jobs, what used to be an adequate contract is now derisory. At the moment so many of our departments are held together by a few experienced and professionally motivated individuals, increasingly they are getting pi**ed off and going to pastures new. This invariably means somebody without anything like the experience of the person who has left, will be promoted into their position (just look at engineering). This puts pressure everywhere else and we just wait for the inevitable to happen.
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Old 1st May 2006, 05:06
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Landlords . . .

Rents at EK1 and EK2 have gone up by 15%. In addition, staff staying in these buildings will not be paid the proposed 15% increase in graded staff utilities allowance, which means that the effective rent increase will be above the government stipulated 15%.

And this cap was meant to control 'greedy landlords', wasn't it?

Staff moving into these buildings after April will pay a premium of up to 50% on the present rent.

Heaven help us if the greedy landlords take after the folks at Accommodation !!!
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Old 3rd May 2006, 14:03
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so anyone know where the level 9s and above stay then?
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Old 5th May 2006, 14:16
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Grade 9

When I was Grade TE3 (well Engineering Equivalent of Grade 9 almost!) I was put up in a place in Bur Dubai next to all the tarts wandering around the streets.

Now while I can appreciate all the working girls wandering around in short skirts and talking to the men in White Dish dash with the Big mercedes it is not really a good spot to be in.

However, I have to agree with Arty that i was still in a good position compared to the guys who were working with me at a lower grades.

The guys that actually do the work are some of the best that I have worked with, and they work damn hard in the heat of the day. No "no work between 12 and 4 pm in hot weather" for them! Then again that only lasted a few days last year anyway.

I know that this is a pilot forum but we all read about EK here. And even though I am no longer EK I still wish all of my ex-collegues well, I can only say: "Life is better out in the realy world". The engineers that work there at EK are very qualified and should they manage to get their types onto a European EASA 66 license they can pretty much write their own wage ticket.

I have just given up a contract paying 29000 DHS per month, accomodation was provided on top, for not actually doing much (1 transit per day need it or not!). Now getting paid approx 13000 DHS per WEEK, a lot of hours yes. But easier life. You work hard you get paid well, contractor companies are always looking to make their money through you and since there is the boom there are always job offers.

Engineers and pilots are in demand. Although I dont get staff travel anymore I earn more than enough to pay for flights and not worry about getting bumped off. LOOK AT CONTRACTING!

When I left there was 109 movements between 15 Engineers. I think that more aircraft, less people, means less time to do anything which means a progressive reduction in maintenance standards. I know that new aircraft offset this maint requirements but when Ek still only has about 4 aircraft jacks for 90 odd aircraft you can easily have delays for something as simple as a wheel change.

Getting back onto thread, work is available. Should EK not start paying for what the lower grade guys actually do they will go. A lot are just waiting for the call to head to Cathy. Prices are rising, effective pay is going down, lower grades are effectivly paying to work for EK by taking loans for deposits. It cant last long.

What will EK do without those grades which it requires to do the work? Ask the engineers you see on the aircraft tomorrow about the mechanics. It really IS THAT BAD!

Not a disgruntled ex employee, just someone who decided EK was not for me!

Flying Spanner
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Old 5th May 2006, 21:17
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Flying Spanner

Since you have left FS the good mechanics are now leading technicians, dressed the same as maintenance engineers. The company was unable to attract new professional maintenance engineers because, apparently, there are none about. ( Read no improved package). Some of the new guys are excellent and will make good leading technicians and eventually future maintenance engineers. Some of them are mediocre/***p and potentially dangerous.
Bottom line is they have UKCAA and therefore satisfy the insurance requirements. Everyone in bean counting happy then.

However, the professional pilots are noticing the difference of course, excluding the new spam driver, smoking 'G' and living in 5* hotels. How he actually gets that stuff in before making a public statement baffles me. I've never been interested but maybe he's got some good contacts for those that are into this stuff. If you read some Michael Moore and listen to some South Africans it is a little easier to understand the desperation of some nationalities. In fairness DXB is good in terms of the tax and crime in both countries.

The new mechanics we now have, fall into two categories, the Filipinos who are generally good but no wide bodied experience and the other nationality we usually meet as taxi drivers in Dubai. None of the new lads drive yet, but since we don't have enough cars to get to the work it doesn't matter. Most of us professional mechs have lost the option of firing a good chap off to source parts whilst we move on prioritising as we go.

I know pilots here generally meet a muppet conversation every time they depart DXB or leave their accommodation, but can you guy's imagine 12 hours stapled to one, or if you are lucky, two of these characters. For any of you wondering, try the Monty Python's Life of Brian sketch...... "Have we released Bwian?" with Michael and the two half wits, or "I want you to stay 'ere and make sure 'e doesn't leave" from the Holy Grail. And yes I'm very aware through friends what you have to potentially put up with in the cockpit on a trip to Utopia. But just now sit back and try to think of twelve hours of that.
When every body new in engineering, recruited without the driving requirement, actually gets a driving license, and we get the aircraft parked up due to lack of crew, we can start focussing on air-worthiness again!
In the meantime let's keep it Enshalla!
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