Vietnam Airlines slashes Expat salaries
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Vietnam Airlines slashes Expat salaries
Vietnam Airlines newly appointed VP (Former Chief Pilot) proposes substantial salary cuts for all foreign pilots at VNA.
Although details are a little sketchy, the salary cuts are expected to take immediate effect following an upcoming meeting with the various agencies who have been summoned to Vietnam for the announcement.
It’s interesting to note that the cost of living in Vietnam has risen over 30% in the past two years and is not showing any signs of stopping its upward climb.
At a time when Vietnam Airlines had finally established a stable work-force, this is definitely a step in the wrong direction. A mass exodus in the near future would be worth betting on.
Although details are a little sketchy, the salary cuts are expected to take immediate effect following an upcoming meeting with the various agencies who have been summoned to Vietnam for the announcement.
It’s interesting to note that the cost of living in Vietnam has risen over 30% in the past two years and is not showing any signs of stopping its upward climb.
At a time when Vietnam Airlines had finally established a stable work-force, this is definitely a step in the wrong direction. A mass exodus in the near future would be worth betting on.
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In an ideal world I agree, but where to in the current climate ?
That is exactly why these guys are making this move, as they know that people have limited options (at least in the short term).
I could imagine others ( India for instance) attempting the same tactics.
Not nice not fair. . but is it ever ?
That is exactly why these guys are making this move, as they know that people have limited options (at least in the short term).
I could imagine others ( India for instance) attempting the same tactics.
Not nice not fair. . but is it ever ?
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This is the problem with these idiots, they only think in the short term. They don't consider the consequences of upsetting an experienced work force.
True, today there may be limited opportunities, but this WILL CHANGE SOON. Then, managers like this will discover the overwhelming cost of rehiring a mass number of pilots, and training them. Not to mention the additional costs associated with "new staff" whilest they are adjusting to the operating environment and company "culture".
All in all, this type of managerial behaviour is about as stupid as it gets and does nothing but demonstrate their ignorance.
True, today there may be limited opportunities, but this WILL CHANGE SOON. Then, managers like this will discover the overwhelming cost of rehiring a mass number of pilots, and training them. Not to mention the additional costs associated with "new staff" whilest they are adjusting to the operating environment and company "culture".
All in all, this type of managerial behaviour is about as stupid as it gets and does nothing but demonstrate their ignorance.
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Mass Exodus
Where do you think the work force will move? There are not too many attractive Airlines around who guaranty you the salary goes up with the living costs and treat you nice.
In may cases in the past it did not work out when Guy`s got up the ladder into a VP position and they thought they invent the wheel new. They caused more demage to the Core instead of finding solution to enhancen the strengh of a outfit. I am with you that VNA will be weaker later due to the damage done by destroying a good moral. The next step is stopping the development and concentrate on demage control instead of going on and position the Airline in a better position then the Competetors. They will be thankful to the boost they get. After all is down the drain the root cause is never identyfied to save the VP`s face and he get`s promoted to the Sen.VP and all starts over again.
30% increase in living costs is the price you pay for trading labour into Vietnam and let the economy grow. For everything what happens you have to face some consequences, good is that the Vietnamese GDP was rising the last few years and people praised it, the flip side of the coin is that this spread even down to the Noodle soup and the price is higher then it was in the past. There would be more to this but bottom line is saight. Quo vadis??
Fly safe and land happy
NG
In may cases in the past it did not work out when Guy`s got up the ladder into a VP position and they thought they invent the wheel new. They caused more demage to the Core instead of finding solution to enhancen the strengh of a outfit. I am with you that VNA will be weaker later due to the damage done by destroying a good moral. The next step is stopping the development and concentrate on demage control instead of going on and position the Airline in a better position then the Competetors. They will be thankful to the boost they get. After all is down the drain the root cause is never identyfied to save the VP`s face and he get`s promoted to the Sen.VP and all starts over again.
30% increase in living costs is the price you pay for trading labour into Vietnam and let the economy grow. For everything what happens you have to face some consequences, good is that the Vietnamese GDP was rising the last few years and people praised it, the flip side of the coin is that this spread even down to the Noodle soup and the price is higher then it was in the past. There would be more to this but bottom line is saight. Quo vadis??
Fly safe and land happy
NG
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I doubt it. They just gave their local pilots a substantial pay INCREASE.
What's even more interesting is that the management just recently began to implement many cost savings policies, for example a fuel savings policy that the expats pilots have been suggesting for over a DECADE.
An over looked fact is that most of the expat pilots operate VN's aircraft with at least some level of consciousness towards cost. To describe the locals; mostly not conscious, least of all consciously thinking. I suppose that’s why they fall asleep and need a few air force fighters to wake them up. (And countless other incidents that the Vietnamese mitigate, cover-up or blatantly lye about) Oops, off topic but emphasises the point quite well me thinks.
What's even more interesting is that the management just recently began to implement many cost savings policies, for example a fuel savings policy that the expats pilots have been suggesting for over a DECADE.
An over looked fact is that most of the expat pilots operate VN's aircraft with at least some level of consciousness towards cost. To describe the locals; mostly not conscious, least of all consciously thinking. I suppose that’s why they fall asleep and need a few air force fighters to wake them up. (And countless other incidents that the Vietnamese mitigate, cover-up or blatantly lye about) Oops, off topic but emphasises the point quite well me thinks.
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Well, Well
Its the age old story. In the down turns management kick the pilots. In the up turn do the pilots really recover that which was lost? Although it is unpopular, we need a 'union'(s) that can bridge the massive gap between us and them. 'Do unto others ....'
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A union! Do you mean an organization of pilots who have banded together to achieve common goals in key areas such as wages, hours and working conditions, complaint procedures, promotion, workplace safety and policies type of a union?
Just a reminder, Vietnam is still communist when it comes to the treatment of people and paying any salaries or benefits.
They do want to play in many of our clubs – WTO, WHO, ASEAN, ETC – but when it suits them, they rise up the big red and yellow (Yellow – an American parallel for spineless) star and put journalists and priests in prison, and of course remind us that Unions are forbidden in Vietnam.
Just a reminder, Vietnam is still communist when it comes to the treatment of people and paying any salaries or benefits.
They do want to play in many of our clubs – WTO, WHO, ASEAN, ETC – but when it suits them, they rise up the big red and yellow (Yellow – an American parallel for spineless) star and put journalists and priests in prison, and of course remind us that Unions are forbidden in Vietnam.
Last edited by nom de plume; 4th Nov 2008 at 02:23.
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They just gave their local pilots a substantial pay INCREASE
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I understand the upset. And yes: upset expats are faster gone (there ARE alternatives) than new pilots hired and trained... well done, aircrafts on the ground are very nice aircrafts... and when they are in the air again, I doubt that VAC will be pleased with the result. They shouldn't change a running system. This 100 x 10% pay savings doesn't really make any difference for them compared to the gains and losses of an airline operation.
Pay peanuts - get monkeys!
Even when it is "not allowed" to build up an union in Vietnam, it might be worth it to build up a common base for expats to communicate, exchange views and experiences and to elaborate reactions.
Pay peanuts - get monkeys!
Even when it is "not allowed" to build up an union in Vietnam, it might be worth it to build up a common base for expats to communicate, exchange views and experiences and to elaborate reactions.
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I was there when they operated their very first Western aircraft, as opposed to Russian lead sleds, and I am surprised they still have any expats, I would have thought they would be all Vietnamese Pilots by now.
Is they guy you mean Truang (I think that is the spelling), the guy that dropped the bomb on his own side near the end of the War?
Is they guy you mean Truang (I think that is the spelling), the guy that dropped the bomb on his own side near the end of the War?
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I would have thought they would be all Vietnamese Pilots by now
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More than one way
In Vietnam one would have thought that procuring the delivery of 1/4oz of high-speed lead into someone's ear would be something that's both relatively inexpensive and easily procured?! 
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Is they guy you mean Truang (I think that is the spelling), the guy that dropped the bomb on his own side near the end of the War?
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SVA tried this nonsense with expats and cancelled retirement benefits in the mid-eighties...so many walked off that the company then needed to hire more folks, at even higher salaries, tripled the training budget, and the folks remaining went on overtime.
A big mistake which took two years to rectify.
Lessons learned a long time ago elsewhere are promptly ignored by many new companies on the block.
A big mistake which took two years to rectify.
Lessons learned a long time ago elsewhere are promptly ignored by many new companies on the block.
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Capt Trung, B777, will probably operate the first flight to the USA when that occurs, decorated war hero, his son is now an A320 pilot too.
He took off from Saigon one day shortly before the end of the war, dropped his bomb on his own (South Vietnam) Palace and flew to Hanoi (the then enemy).
Mind you none of us back then (1992-1993) actually called him a traitor to his face when he was flying as one of our F/Os, he was quite useful in getting things done.