EK Pay Review. Going Going GONE!
 

Whatever the EK pay review it has been obliterated in the past three months. Unless it is over 10% overall then most of us are worse off than we were a year ago. And lets hope they don't give out with one hand and take away with the other in the form of cutting various allowances.

These are the figures since 1st Febrary. The previous quarter. The percentages are the drop in value of the Dirham against the respective currency.

AED vs EUR 1st Feb - 0.197384 29th Apr - 0.183241 - 7.2%
AED vs GBP 1st Feb - 0.168844 29th April - 0.163396 - 3.2%
AED vs AUD 1st Feb - 0.268944 29th April - 0.248475 - 7.6%
AED vs SGD 1st Feb - 0.346149 29th April - 0.33359 - 3.6%
AED vs INR 1st Feb - 12.4356 29th April - 12.0395 - 3.2%
AED vs BRL 1st Feb - 0.452430 29th April - 0.429956 - 5.0%
AED vs CHF 1st Feb - 0.255583 29th April - 0.235776 - 7.5%
AED vs SAR 1st Feb - 1.97654 29th April - 1.79565 - 9.2%

Of course if we look at the last year its even worse. Since 29th April 2010

AED vs EUR 29th Apr - 0.205364 29th Apr - 0.183241 - 10.8%
AED vs GBP 29th Apr - 0.178225 29th April - 0.163396 - 9.3%
AED vs AUD 29th Apr - 0.293094 29th April - 0.248475 - 15.2%
AED vs SGD 29th Apr - 0.372632 29th April - 0.33359 - 10.5%
AED vs INR 29th Apr - 12.1183 29th April - 12.0395 - 0.7%
AED vs BRL 29th Apr - 0.473240 29th April - 0.429956 - 9.2%
AED vs CHF 29th Apr - 0.294657 29th April - 0.235776 - 10.0%
AED vs SAR 29th Apr - 2.00427 29th April - 1.79565 - 10.4%

Some other factors to consider:

Emirates is currency hedged. They take revenue in many currencies but pay their bills predominantly in USD. Their wage bill has dropped considerably against revenue.
Currently Emirates voices concern about rising oil costs. Actually oil is not rising much, its the dirham and the dollar are falling. Oil vs Euro is relatively flat. Emirates currency hedge works here quite well.
As the Emirates wage bill falls, they are better positioned than other airlines to lower prices and increase yield so a rising oil price plays into their hands up to a point.

I dont see a 10% increase in salaries and flying pay. Those whose home currencies are not tied to the USD have taken a 10% hit over the last year and are worse off than this time last year and likely to remain so. The USA has emphatically pointed out they will not raise rates for some time. The Dirham will continue to weaken.

ERP doesnt cut it. It protects only half the salary to a max of 15% and washes out over time. Hence the most anyone can ever get is 7.5% of salary protection. This does not include flying pay, appointment allowance, provident fund, education or accommodation. Aussies, for instance, can look forward to the ERP going down soon as they have been getting it for some time now but the baseline is rising towards 1.0. Ergo the ERP will soon reduce unless the AUD keeps rising. It is based on a rolling average which is going up.

From the above figures you can expect your cost of living in Dubai to go up about 7% in the coming months. On the bright side (or dark side for some) expect Dubai property prices to rise along with rentals. they are now under valued.

Its going to be a very tough year for some as Ben Bernake continues to devalues your salary to pay for American corporate greed.

yes this is scary,really!I see every month a "huge" reduction in money lost when sent home!this falling dirham has to STOP damn!

I really really share your pain!!!:(

AUD= 4.1Dhs
 

I predict a rise in Pot Noodle Parties happening on layovers.

I know many of the crew (myself included :uhoh:) will be trying to reduce the spending on the longer trips, especially good ones like Aussie trips where the allowance for a long trip can sometimes total $300 plus!!! (1200dhs)

That's a good chunk of change especially for those crew supporting whole families back home.

I do hope though that it doesn't keep climbing!!! :\

I'm guessing that you are a very optimistic property owner.

Pixy

The nature of the beast i'm afraid and Emirates can't be held responsible for the falling dollar. Ultimately, it will be for them to decide if a large pay increase is required to compensate for this fact. If so, the falling dollar may in fact play into our hands, up to a point.

Regarding property, I personally think the bottom has yet to be reached. There is an absolute shed load of vacant properties available for rent and sale, with many more units coming on line within the next 12 months. Just look at all the tower blocks around the marina still under construction. I predict 2 more years before we see things start to change and then it will be slowly does it. I also think Australia is heading for a mighty crash soon, just like Ireland and others before it. Property in many parts is hugely overvalued without a doubt.

Couldn't agree more. I'm predicting 2012 and 2024 to be those two years. So hopefully by 2025 things will improve with property..:}

Although I agree with all above about wall street needing a lashing... Or better firing and regulation....

I wouldn't worry about the us deficit. The us deficit is 10 % GDP... And many countries are much higher. Couple that to the fact that the us is the most powerful country in the world, there is little to worry as long as they actively manage it. Considering the current interest rates, the cost of servicing that GDP is actually Lower today than it was in the 90s when the ratio was lower. This is part of the reason the rates will stay low for a time.

I would suggest you buy low and sell high. Convert your dirhams to USD as much as you can, and invest in that currency. When the rebound happens, and it will unless you think the us will go bankrupt, then you can cash in.

However it's not a sure thing, and emirates should be protecting it's assets ie: employees, as much as it can. That is... If it was smart.

Hey SI, do you REALLY have to be that unpleasant to every single person on this forum?

If you disagree on points of fact then say so, but you are coming across as a thoroughly dislikable chap who's sole aim is to slag everyone off for daring to have an opinion other than yours........

If you have something constructive to contribute to the discussion then go ahead, but don't be vile for no reason at all, do what I do and jump down their throat when they have a pop at you..........simple!:cool:

I stood under the impression that EK employees have a currency rate insurance? Is this a voluntary agreement? How does it work in the present case of fallling western currencies?

Dani

It's contractual. However it covers up to a certain limit only (complicated!). Additionally it only applies to the basic pay, not flight pay. Actually it covers about only half of all the above, therefor it is nice, don't get me wrong, but especially for the currencies that gained double digits on the dollar/dirham it does not cover the losses for us.

sittingidly is obviously one of those little people who is picked on by his wife, children, colleagues and associates. Anonymity gives him power, or so he thinks. His sole purpose is to get a rise out of people, and it is for that reason that his posts are mostly nonsensical contradictory and offensive. For some reason idiots like this think that anonymity is an excuse for bad manners and poor behavior....

I think that is also the case with some more guys here...:E
Once they don't like any post...there is no holding back on attacking not only the opinion but the person itself, his nationality, his fleet, age, language, career or whatever they see fit to discredit...very brave indeed!:D

A Coke was 1 dirham last year. Now it is 1.50 dirhams without any intervening increment. You should be able to do that math without a calculator unless (by observation) you are a twenty-something FO.

Ha - depends on whether the straw goes up your nose or into your mouth:}:}

But you're right about cost of living index. Two trolley loads of groceries at Carrefour costs me about 1600 dhms now. The same items 8 years ago were 650 dhms!!!!!!!!!!!!!!!!!!!!!!!

$$$$$
 

Fellow Ek colleagues.

I think the profit share will be close to 20 weeks and the pay raise will be a double digit percentage.

Based on the number of road shows on the go. And an agency has been approached in the UK to try and attract more pilots. The name of the agency was not priovided.

In my opinion, if they try and get away with it by offering a small pay rise, it will come back and bite them in the short term.

I certainly hope I am right. Let's see?

All the best to all of us.

Check Six:ok:

Double digits just like the good old days.....I still remember TCK's letter patting us on the back and rewarding us with a 1.5% increase. :D

ahhhh those be the days aye!

The Don

No numbers mentioned about pay rise but 18 weeks has been the quiet whispers going around about the bonus.

$$$$$
 

Ah yes. Our good friend TCK. How I miss him?? ha ha ha ha.

Our package has been under "review" since then.

I probably am dreaming, but then again, I hope I am right too. Let's see?

Apparently Singapore have announced their profit share. 17 or 19 weeks.

Not long to go now.

Cheers

Check Six

Well all I can say is bring back TCK after the cr@p we got from the 'horse'... At least he spoke our language:p