Hyperthetical Wages
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Hyperthetical Wages
Here's a topic that I hope will bring some opinions.
Let's say, just for a moment, that I owned a small charter operation in, say, FNQ.
In your opinions, what would be a resonably fair manner in which to renumerate a line pilot that includes a performance component?
What sort of things would you include as qualifiers in the performance part of a wage?
What percentage of the total would you think fair to be 'at risk'?
Ideally I would see a wage that lets say moved from getting $50k a year without having to do anything but your job, to being able to earn up to 20% more than that if you 'performed', with a corresponding drop of 5-10% the other way if you were crap.
*Fire suit on*
Let me know what you think.
Flog.
Let's say, just for a moment, that I owned a small charter operation in, say, FNQ.
In your opinions, what would be a resonably fair manner in which to renumerate a line pilot that includes a performance component?
What sort of things would you include as qualifiers in the performance part of a wage?
What percentage of the total would you think fair to be 'at risk'?
Ideally I would see a wage that lets say moved from getting $50k a year without having to do anything but your job, to being able to earn up to 20% more than that if you 'performed', with a corresponding drop of 5-10% the other way if you were crap.
*Fire suit on*
Let me know what you think.
Flog.
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The fire suit wont protect you from these flames!! 
hehe :P
anyway, quick question, how could you track performance standards of pilots?
I reckon that would be a good incentive, bonuses for good pilots.
hehe :P
anyway, quick question, how could you track performance standards of pilots?
I reckon that would be a good incentive, bonuses for good pilots.
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having a salary that moves up and down based on performance will lead to pressures on the pilot ie. push the limits to get from A to B, squeeze those last heavy bags on....that sort of thing. This in turn WILL bite someone or the organisation at some point in time and probably to the detriment of the cargo/pax!! and thats not good for business!!
The 'crap' pilots (as you have put it) should be able to be weeded out from their applications and interviews.
Job descriptions with contracts can quite clearly spell out what is required and expected. If the organisation has high expectations - then that is what should go down on the job description as the minimum expectation.
As far as standards go, thats why the regulatory outfits insist on regular flight tests.
The 'crap' pilots (as you have put it) should be able to be weeded out from their applications and interviews.
Job descriptions with contracts can quite clearly spell out what is required and expected. If the organisation has high expectations - then that is what should go down on the job description as the minimum expectation.
As far as standards go, thats why the regulatory outfits insist on regular flight tests.
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I think you mean 'hypo'thetical!
But then again perhaps it was a Freudian slip, I mean you are looking at paying pilot's more!
By they way, I see no problem with incentive based schemes so long as they are focussed in the right direction. Here are some ideas.
-perhaps you could measure 'on time performance', although this would be difficult.
-you could offer a reward for the best 'safety based' improvement suggested each month, could be cash, or something more tangible.
-you could ensure your pilots get enough time off and don't have to worry about their job being gone when they get back! (lifestyle and the ability to study, etc.. means a lot to most pilots and will cost you nothing!).
-ensure a fatigue free roster, in fact even having a roster in the first place, again this costs nothing.
-make all pilots full time employees at slightly over award rates, I am surprised more companies don't do this, if you want loyal, long term employees this is the way to go! It won't cost you much in the long run in fact it will add to your bottom line in reduced training costs!
I'll post more if I think of them!
Hyper-: Prefix meaning "high, beyond, excessive, above normal"
By they way, I see no problem with incentive based schemes so long as they are focussed in the right direction. Here are some ideas.
-perhaps you could measure 'on time performance', although this would be difficult.
-you could offer a reward for the best 'safety based' improvement suggested each month, could be cash, or something more tangible.
-you could ensure your pilots get enough time off and don't have to worry about their job being gone when they get back! (lifestyle and the ability to study, etc.. means a lot to most pilots and will cost you nothing!).
-ensure a fatigue free roster, in fact even having a roster in the first place, again this costs nothing.
-make all pilots full time employees at slightly over award rates, I am surprised more companies don't do this, if you want loyal, long term employees this is the way to go! It won't cost you much in the long run in fact it will add to your bottom line in reduced training costs!
I'll post more if I think of them!
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HH - well spotted, my wife pointed it out too after it went up. Damn psychology.
Conflict - I'm not looking for "standard" pilots, I want high performing pilots working for me. People that will go above and beyond (and know they will be paid for it). Keep reading before you reply though...
Just to clarify, I wouldn't be putting in place anything that might cause a pilot to compromise safety. So there'd be nothing along the lines of "$X/hr extra if all flights arrive within 10 minutes of ETA at planning." That would be bad for everyone concerned.
I imagine it to be more of the "soft" skills I'd focus on, like customer service (from customer surveys), turning up on time, having medicals, etc. in order well in advance, etc.
It's these things I'm looking for more ideas on.
At the end of the day, if you can have employees that are happy doing what they are doing, your customers will be happy doing what they are doing and I'll be happy operating a business. It's about win-win, which is a cliche for a reason.
Cheers,
Flog.
Conflict - I'm not looking for "standard" pilots, I want high performing pilots working for me. People that will go above and beyond (and know they will be paid for it). Keep reading before you reply though...
Just to clarify, I wouldn't be putting in place anything that might cause a pilot to compromise safety. So there'd be nothing along the lines of "$X/hr extra if all flights arrive within 10 minutes of ETA at planning." That would be bad for everyone concerned.
I imagine it to be more of the "soft" skills I'd focus on, like customer service (from customer surveys), turning up on time, having medicals, etc. in order well in advance, etc.
It's these things I'm looking for more ideas on.
At the end of the day, if you can have employees that are happy doing what they are doing, your customers will be happy doing what they are doing and I'll be happy operating a business. It's about win-win, which is a cliche for a reason.
Cheers,
Flog.
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flog, if you want good morale in your work place then I suggest the following, in addition to some of the above posts:
1) Pay slightly above the award, Howard nailed that one. Employees that feel they are being ripped off WILL rip off the employer some way or another, not all are stupid enough to put their hand in the till but there are thousands of ways they can waste your money.
2) Talk to your employees. Employees are part of the business and like to be involved in the management of it. I don't mean that they should run rampant and get their hands on everything. Here's an example, I used to work in retail, selling high end luxury goods for outdoor living, our boss was very personable and used to ask our opinion about all aspects of his business when he needed some inspiration or simply to chat with someone. Don't limit yourself to talking shop with your employees, spend time with them over coffee, at smoko, lunch and after work. This leads me to my next point;
3) Put on a carton of light beer on Friday and make sure every employee knows it is for them. A more recent boss does this and he gets tangible benefits every week. a) Very, very high morale in that company. b) Employee loyalty. c) Although it is considered an after hours function, talk often turns to shop and good ideas/comments come out which helps the company. d) Just after the first beer had been cracked the boss would summarise the week, including the company turn over figures and how the company performs in meeting its targets, this kept everyone informed and if we didn't make target we knew we had to do a little better next week. One important point here: the Friday night beers never became a free for all, it usually lasted about an hour or so and was only for employees. It wasn't a bash or a piss-up, it was a quiet beer or three with the boys and girls after work, if we wanted more we would go out.
The two bosses I have mentioned have happy and loyal employees, very low staff turn-over and run profitable businesses. (22 and 26 years each.)
4) As has been mentioned paying just above award is good. Overtime is excellent. Employees staying back or coming in on days off or extra days do it for the money, not for the love of the job. Previous bosses paid overtime at the award rates and then expressed their appreciation verbally as well. A little thanks goes a long way.
There is much more but I am running out of time, I might post later if you like my ideas.
Best of luck with it all.
ABX
Ps. Have you recently purchased this business? I saw one for sale in the Trader...
1) Pay slightly above the award, Howard nailed that one. Employees that feel they are being ripped off WILL rip off the employer some way or another, not all are stupid enough to put their hand in the till but there are thousands of ways they can waste your money.
2) Talk to your employees. Employees are part of the business and like to be involved in the management of it. I don't mean that they should run rampant and get their hands on everything. Here's an example, I used to work in retail, selling high end luxury goods for outdoor living, our boss was very personable and used to ask our opinion about all aspects of his business when he needed some inspiration or simply to chat with someone. Don't limit yourself to talking shop with your employees, spend time with them over coffee, at smoko, lunch and after work. This leads me to my next point;
3) Put on a carton of light beer on Friday and make sure every employee knows it is for them. A more recent boss does this and he gets tangible benefits every week. a) Very, very high morale in that company. b) Employee loyalty. c) Although it is considered an after hours function, talk often turns to shop and good ideas/comments come out which helps the company. d) Just after the first beer had been cracked the boss would summarise the week, including the company turn over figures and how the company performs in meeting its targets, this kept everyone informed and if we didn't make target we knew we had to do a little better next week. One important point here: the Friday night beers never became a free for all, it usually lasted about an hour or so and was only for employees. It wasn't a bash or a piss-up, it was a quiet beer or three with the boys and girls after work, if we wanted more we would go out.
The two bosses I have mentioned have happy and loyal employees, very low staff turn-over and run profitable businesses. (22 and 26 years each.)
4) As has been mentioned paying just above award is good. Overtime is excellent. Employees staying back or coming in on days off or extra days do it for the money, not for the love of the job. Previous bosses paid overtime at the award rates and then expressed their appreciation verbally as well. A little thanks goes a long way.
There is much more but I am running out of time, I might post later if you like my ideas.
Best of luck with it all.
ABX
Ps. Have you recently purchased this business? I saw one for sale in the Trader...
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That would be a good idea, with a few considerations in mind. People don't necessarily have to push and break limitations to be good performers. I think a pilot who says, "no we cant fit your bag on" is better for that than being overweight.
Better performance in my mind would be the little things that make the bigger things better, like cleaning windows, oil spatter, straightening seat belts and making the job of the pilot after you a lot easier, after all what goes around comes around.
It amazing the difference between a person who shows initiative and goes out of their way to do the little chores that no one likes doing, some of the time little things do go un noticed but most of the time it will be appreciated.
All that being said a person does need to be an efficient operator in regards to the flying, like on time performance, passenger satisfaction if applicable etc.
However an employer must not let their opinion of ones personality get in the way of their judgment in regards to performance. You can't have a person on the 20% increase idea just because you like them more than the person who you don't like as much, who is on a standard wage or even on a lack of performance wage.
Good Idea overall, I think it would make people better workers, but there are many considerations. Might be easier like someone said to give everyone just above the award, if they are lacking performance give them a kick up the coight. That way things are kept simple but effective.
JB
Better performance in my mind would be the little things that make the bigger things better, like cleaning windows, oil spatter, straightening seat belts and making the job of the pilot after you a lot easier, after all what goes around comes around.
It amazing the difference between a person who shows initiative and goes out of their way to do the little chores that no one likes doing, some of the time little things do go un noticed but most of the time it will be appreciated.
All that being said a person does need to be an efficient operator in regards to the flying, like on time performance, passenger satisfaction if applicable etc.
However an employer must not let their opinion of ones personality get in the way of their judgment in regards to performance. You can't have a person on the 20% increase idea just because you like them more than the person who you don't like as much, who is on a standard wage or even on a lack of performance wage.
Good Idea overall, I think it would make people better workers, but there are many considerations. Might be easier like someone said to give everyone just above the award, if they are lacking performance give them a kick up the coight. That way things are kept simple but effective.
JB
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what about a pilot who, if the bag wont fit on board, promises to bring it over on the next flight there? (provided the plane is flying there again).
Otherwise keeping it at the airport in a locker until the customers come back, or mailing it to them somewhere...(or if he is staying the night at his destination, possibly sacrificing his own bag for the customers)?
That would be classified as excellent customer service in my view.
Otherwise keeping it at the airport in a locker until the customers come back, or mailing it to them somewhere...(or if he is staying the night at his destination, possibly sacrificing his own bag for the customers)?
That would be classified as excellent customer service in my view.
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All good suggestions.
Don't forget (and I think Pyro is onto it there) that whatever an incentive to perform is, it has to be acheivable, resonable, and most importantly measurable.
Without the measure you get favorites (as jetbrett has aluded to). So this type of thing has to be setup with an open book policy where everyone knows how everyone else is performing (operator / pilot, not necessarily amongst pilots but it's not like people can't talk to each other about their pay...)
Don't forget (and I think Pyro is onto it there) that whatever an incentive to perform is, it has to be acheivable, resonable, and most importantly measurable.
Without the measure you get favorites (as jetbrett has aluded to). So this type of thing has to be setup with an open book policy where everyone knows how everyone else is performing (operator / pilot, not necessarily amongst pilots but it's not like people can't talk to each other about their pay...)
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The bonus should be based on a few fundamentals......Attitude for a start, desire to look after company assets (treat them better than if you owned them yourself), desire to look after customers, Attitude, Attitude.......be continually safety concious and not sweep things under the carpet. Ohhh and attitude!
Employees with a good attitude may not be the best technically speking at first, but they can be trained and gain skills etc. A smart ar$e with a bad attitude can never learn anything.
.........now how do you nail a measurement to $$ I do not know. maybe a score for the number of times they p!$$ you off each year, each time its worth 2% points. If they average one a week there bonus is gone!
J
Employees with a good attitude may not be the best technically speking at first, but they can be trained and gain skills etc. A smart ar$e with a bad attitude can never learn anything.
.........now how do you nail a measurement to $$ I do not know. maybe a score for the number of times they p!$$ you off each year, each time its worth 2% points. If they average one a week there bonus is gone!
J
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hahah (oh wow someone said i'm onto something for once! 
). I agree that attitude is a big thing, but theres another (sub?)factor:
Enthusiasm,
Enthusiasm is the key to being good at what you do, if you enjoy doing it, in most cases you will do it better than one who doesn't.
(I'm enthusiastic about learning to fly, so I go ahead and reading all the stuff it says to read in the ebrief (and more!) to prepare for the coming lesson(s), because i enjoy flying so much)
Now an employer can generate enthusiasm by offering rewards, bonuses, and being generally social with the employees and letting them have a say in what the company does.
Working for a rude, stuck up employee will make you enjoy the job less, meaning you won't want to try as hard (because when you have a good employer, you really want it to be mutual, and want to please him/her), and standards will degrade.
). I agree that attitude is a big thing, but theres another (sub?)factor:Enthusiasm,
Enthusiasm is the key to being good at what you do, if you enjoy doing it, in most cases you will do it better than one who doesn't.
(I'm enthusiastic about learning to fly, so I go ahead and reading all the stuff it says to read in the ebrief (and more!) to prepare for the coming lesson(s), because i enjoy flying so much)
Now an employer can generate enthusiasm by offering rewards, bonuses, and being generally social with the employees and letting them have a say in what the company does.
Working for a rude, stuck up employee will make you enjoy the job less, meaning you won't want to try as hard (because when you have a good employer, you really want it to be mutual, and want to please him/her), and standards will degrade.
AustralianMade
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The Best
A big one I have learnt from some good employers is to give, and demand, the best. Successful people always do it.
There are times I have stayed back for 30 or 40 minutes, without pay, to help my boss or attend a meeting, my boss appreciates this and shows it by putting some snags on the barby every so often! (He pays overtime if he requires my attendance.)
Works well for both of us.
There are times I have stayed back for 30 or 40 minutes, without pay, to help my boss or attend a meeting, my boss appreciates this and shows it by putting some snags on the barby every so often! (He pays overtime if he requires my attendance.)
Works well for both of us.
Maybe some employers can read this and learn 
Most of the points brought up are very valid.
I worked for a GA company in africa last yr.
Good salary, Overtime after 65hrs. Same hourly rate for days off.Health insurance, uniform, night stop allowances. We all got to choose 7 days off per month at the end of the previous month. The boss said sorry when there was a cock up, please and thankyou when a great job was done. Xmas bonus which wasn't much but the gesture was good. great xmas parties and lots of side favours for family and friends.
Did I work my nuts off, Hell yeah but extra salary and a big thankyou, it was fine by me. This company had no shortage of pilots knocking at their door asking for a job.
Most of the points brought up are very valid. I worked for a GA company in africa last yr.
Good salary, Overtime after 65hrs. Same hourly rate for days off.Health insurance, uniform, night stop allowances. We all got to choose 7 days off per month at the end of the previous month. The boss said sorry when there was a cock up, please and thankyou when a great job was done. Xmas bonus which wasn't much but the gesture was good. great xmas parties and lots of side favours for family and friends.
Did I work my nuts off, Hell yeah but extra salary and a big thankyou, it was fine by me. This company had no shortage of pilots knocking at their door asking for a job.
It's probably fairly important too to have an environment where a pilot can U/S something without worrying about it affecting his employment. While performance items which cannot be measured (like tidying seatbelts, good customer service) are probably not rewardable financially, you could try something like faster progression for the ones that put in the extra effort.
Arr
Arr
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Fulltime Ag. pilots get paid a fairly piss weak retainer plus a percentage of what the aeroplane that they are flying, makes. This tops up their wages to something a little more reasonable. In a half descent year this extra 'commission' is worth alot more to the pilot than the retainer. Obviously this wouldnt be ideal to a charter/scenic operation but it does have some merit. If the employees are getting a % of what the plane makes, it is in everyones best interest to keep the aircraft working at its most efficient. It doesn't benefit anyone, pilot or operator, if the aircraft is in the hangar for unscheduled maintenance because it went through the end fence overloaded, or it's weather bound at a remote airstrip due to poor decision making or poor planning by the pilot. The problem with this system, especially with a bigger operation, 4 or more planes, is that some of the pilots may cut corners to increase the productivity of the aircraft and therefore their wages. Some companies have rectified this by 'pooling' all the pilots commissions together and then splitting it up equally amongst the pilots. This is done at the end of the month, so at the end of each month the pilots get a 'bonus', its size depending on how busy the company was for the month.
E.g.
if lets say, 2% of the companies turnover went into a pool, and at the end of the month that pool of money was spread evenly to the pilots, I think you would find that the productivity of your aircraft would go up, but not at the cost of safety, as it is in everyones interest to keep the planes going. I think you would find that your line pilots would police each other, as what one pilot does directly reflects in his/her fellow pilots wages.
This system often also applies to the loader driver/mixer in the Ag. industry, but could also work for your ground staff, ops managers, baggage handlers etc....everyone having the same goal as management has to be benificial to all....
E.g.
if lets say, 2% of the companies turnover went into a pool, and at the end of the month that pool of money was spread evenly to the pilots, I think you would find that the productivity of your aircraft would go up, but not at the cost of safety, as it is in everyones interest to keep the planes going. I think you would find that your line pilots would police each other, as what one pilot does directly reflects in his/her fellow pilots wages.
This system often also applies to the loader driver/mixer in the Ag. industry, but could also work for your ground staff, ops managers, baggage handlers etc....everyone having the same goal as management has to be benificial to all....
