Showing posts with label Pay. Show all posts
Showing posts with label Pay. Show all posts

Saturday, April 12, 2008

Perimeter Aviation

I apologize for the lack of posts. I'm currently in the middle of exams so I have been a little pre-occupied.

I have a counter this blog which tells me how much traffic I get and also where it comes from and in some instances, the search terms that people use to find it. A large number of people find this blog when searching for 'sexy flight attendants!' I had one recent person find this blog while searching for 'perimeter aviation dangerous' which sent them to the previous post: Drinking And Flying.

While I felt it was important to post so that young pilots know how important it is to be very careful with their alcohol consumption, I did not want the post to be seen as being negative towards Perimeter Aviation. Perimeter is a good, safe airline. I have numerous friends that fly for them and I would fly on them no problem. It's a great spot for young pilots to get their start. You will work hard on the ramp for a fair amount of time, but once you get flying, you get lots of hours and lots of great experience. There is the opportunity to move up from a First Officer to Captain and even the opportunity to move up to a Dash 8. The multi-IFR flight school is very well known and they often offer the ability for instructors to eventually move over to the airline side of things.

Most pilots don't make a career of flying for Perimieter or airlines like it, however, Perimeter does offer very competitive salaries for their Medevac Captains.
Overall, it's a good company - even if the Metro's look like lawn darts :)

Friday, February 29, 2008

Selling Seats

Yesterday, to celebrate their 12th birthday, WestJet had a pretty good seat sale on routes in Eastern Canada offering fares between Toronto and Ottawa or Montreal for as low as $12. Some other routes were only $39 each way. While they still added all the surchrages such as taxes, airport improvement fees, NavCanada fees and the security tax, the flights were still a great deal. Air Canada matched most of the fares. Combined, my girlfriend and I bought a total of 5 one way flights for roughly $420.



Three of these were flights that we knew we needed to make in the next few months so we would have eventually bought tickets. Two legs were a flight that I was probably going to make, but hadn't completely committed to yet. The sale solidified my decision. Although, for that particular trip I booked on WestJet before I knew that Air Canada had matched the prices. Air Canada had flights at more convenient times, so I would have picked their flight had I done some more research.

The excitment of getting a pretty good deal aside, this raises some really interesting issues about the economics of the airline industry. Aircraft are complex, expensive machines. They are operated by skilled crews who are paid a relatively comfortable salary. Yet, with a sale like this, the actual cost of the airfare from Toronto to Halifax is less than the cab ride home from the airport!

This was just a one day sale. Fares that low are not sustainable as the former airline Jetsgo showed. But this does raise some interesting questions. What is a good price for airfare? Most customers will argue that airfare should be lower, yet, airlines in Canada go bankrupt on a regular basis. In fact, there's an article in the Globe & Mail's Report On Business on Air Transat and how it's amazing that an airline has survived for 20 years in Canada!

This issue is too complex to examine in a short blog post. In fact, airline executives with MBA's haven't managed to get it right over the past few decades. But, on the surface at least, the public's desire for low airfares generally conflicts with pilots' desires for a high income.

Saturday, February 23, 2008

Flying For Free

A recent Job Post by a Sky Diving Company on the AvCanada Message Boards has sparked quite a bit of online controversy. There have been a number of threads in response to this job post: Here , and Here , and Here , and Here.

The problem with this job ad is that the ad is not for a real job. The skydive company runs a skydive 'course' where it charges roughly $1000 to the dozen or so pilots who sign up. From there, the company will take only a few of the 'graduates' of this course and allow them to fly skydivers for the summer and not get paid for it.

There are a number of problems with this.

To begin with, I have talked to a couple different new pilots over the years who have signed up for this course under the promise that everyone who passes the course gets 'hired' on. However, unless things have changed, it sounds as if the reality of the situation is that very few of the pilots who complete the course actually get hired on. A couple of years ago, one friend of mine signed up for the course. The company knew in advance that he had only 200 hours, however, after the course had finished, they gave him an excuse that the couldn't 'hire' him because their minimum was 250 hours. Another pilot I talked to claims he was promised that everyone who takes the course gets hired, however, after he had paid for and attended the course, they said, thanks, but we have enough pilots and don't need your help - they were still more than happy to take his money for the course though.

At first blush this course and promise of flying can actually sound like a good deal for a new pilot who has just spent tens of thousands of dollars getting his or her licence.

The thinking goes - the promise of 200-300 hours over a summer for 'only' the cost of a $1000 course is a small price to pay compared to the cost of getting a licence. Besides, working for free or 'volunteering' to get these hours will give them experience and a leg up to get a real job.

While I completely understand the reasoning for this type of thinking, it is based on false logic. Although flight training is expensive, the primary purpose of the flight is so that you can learn to fly. At the Sky Dive company, the primary purpose of the flight is to fly skydivers and ultimately make money for the owner. This company is not a skydiving club or a not-for-profit organization (there are, for example, non profit gliding clubs where volunteering would be a slightly different endeavour). This company's purpose is to make money and they need pilots to fly the skydiving planes in order to make money, therefore, the pilot involved should be making money.

Hours in and of themselves are not a form of payment. While true that most entry level jobs are low paying and the primary purpose is to gain experience, you are a commercial pilot and providing your services so that the owner of the company can make money, you should therefore be paid. Skydiving companies are never going to be high paying jobs. In fact, there are a lot of places where pilots only get $1 of every jumper they fly whereas they get $2 for every parachute they roll up! While I think that this is still very low pay, at least it is pay.

As a new pilot, you may think that spending money on this type of course and getting this type of experience will help you in the long run. On an individual level it actually might help someone get ahead. However, there are a few things to think about before deciding to take a non-paying position. This operator, and others like it are known across the industry. This could potentially hinder you in a serach for a job later on. The second thing to consider is that it hurts the pilot profession as a whole. If no new pilots would take a course like this, the operator would be forced to actually pay the pilots that he employs.

Pilots will often take jobs where they don't get paid in order to get experience for jobs that do pay. But, the rub is that the operators that do pay their pilots have to compete with the companies that don't. This could ultimately lead to more unpaid positions.

DO NOT SIGN UP FOR THIS COURSE OR FLY FOR FREE (if it is for a for-profit company)

Saturday, November 24, 2007

So, You Want to be a Regional Airline Pilot

This was a video that has been up on YouTube for a few years now. It was done during a time of cut backs in the industry, likely by a pilot who was petty fed up with the way things were going. Basically, this video outlines the low salaries at the entry level positions for the regional airlines in the US.

These salaries are low. In relation to the last post, it's important for new pilots to understand that things can be a pretty tough go at first and that you won't be starting on a Boeing or Airbus directly after finishing Flight School.

There are a number of things to keep in mind though:

1- In Canada, although at the lower levels of the industry salaries are quite low, they're not as bad as the ones listed in the videos. I discuss average salaries at different levels of the industry my book.

2- The salaries listed at the time were for the first year junior F/O position. These salaries will go up as you gain experience. Interested pilots should check out www.airlinepilotcentral.com for salaries of each of the airlines.

3- The salaries don't necessarily consider the 'per diems' provided for new pilots.

4- This video was done at a time when major airlines were not hiring. Although the situation for pilot hiring in the US is not as good as the rest of the world, the economics of supply and demand will dictate what airlines have to pay to keep pilots. A few years ago there were a number of out of work pilots in the US and many airlines were doing very poorly financially, so they paid these low salaries.

5- Nonetheless, paying attention to the salaries are important. It's my hope that pilot salaries will begin to moderate themselves. While the highest salaries may not be quite as high, the lower salaries won't be as low.

On the plus side, I was talking with a a former co-worker who now flies for Air Canada. Currently he's an Airbus A320 F/O and he's on salary making $42,500 a year. In a couple of months however, he switches to formula pay. That will pretty much double his salary. He's not going to be rich anytime soon, but airline pilot salaries can be quite comfortable after a couple of years.

So, while I think that new pilots should be aware of the pay at different levels of the industry, I don't think it's necessary to be quite as jaded as the producer of the video.