Originally Posted by Coconut
I was reading an article and I came across this:
The union said it presented to Air Canada a copy of the employment agreement of pilots with WestJet Airlines Ltd. showing that WestJet pilots are paid more than their counterparts at Air Canada. They claim when taking into account wages --including flight pay, paid training, stock options and a share purchase plan---a captain flying a WestJet 737 earns about 13 per cent more than an Air Canada pilot flying an A320. First officers earn some 20 per cent more, it claims.
This kind of shocked me because isn't Westjet supposed to be a low cost? In my head, lowcosts carriers have lower costs...
Why is westjet slowly quitting the Southwest model to a more 'hybrid' type like Air Canada. Is it even wanted?
We have seen legacy carriers try to turn into a lowcosts, but we haven't seen lowcosts turn into legacies. Easyjet's owner said:
We born lowcost, we don't change into one.
Well, wouldn't the opposit also apply?
Some of you might say they are doing like Jetblue, which isn't 100% lowcost. However, Jetblue have ordered a second type aircraft instead of buying smaller and ineficient A318s. Now Westjet can't really buy regional jets because the whole idea of getting B736s would turn out to be useless...
Comments?
Southwest is low cost AND has what is quite likely, the most expensive pilot contract in the US these days.
Those leather seats cost more up front, but last about 4-5x longer. That LiveTV system costs far less to instand all operate than other PTV systems. Those brand new planes are miserly on fuel, cost a fraction to maintain compared to those old -200's, fly more asms a day, and spend far less time away on C and D checks.
Don't get lost in the trees. Keep an eye on the forest. WJ costs remain very low, especially given they have no significant fuel hedges.
