Shortage of pilot candidates puts a drag on regional carriers
#31
Join Date: Sep 2003
Location: Here Today Gone Tomorrow
Programs: NW Silver, CO Silver,SPG Gold, USMint Presidential, Chase/BA 100k, Airtran Wendy's cups
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One night he was commuting from the east coast to DTW. The Ex flight had rolling delays. Eventually the agent said the flight was cancelled and sent the pax to another carrier. The pilots told my friend to stand by. After the other carrier's flight had departed the original flight was reinstated. My friend had the cabin to himself. The pilots told him that because the flight did operate the company would still be paid (whether or not there were pax).
#32
FlyerTalk Evangelist
Join Date: Jul 1999
Location: ORD/MDW
Programs: BA/AA/AS/B6/WN/ UA/HH/MR and more like 'em but most felicitously & importantly MUCCI
Posts: 19,719
As fares go up and choices and capacity go down, there is no sign of a "strike" by customers. The only cohort on the supply side that has failed to benefit from consolidation and cartel-ization is the rank-and-file employees, particularly regional pilots.
It's absurd to attribute all those corporate casualties to labor costs, and you forget that virtually all the LCC, non-union, cheap-labor-based startup airlines since deregulation failed as well -- except America West. Most airlines expire because of dumb management, not expensive pilots. The ONE legacy carrier on your list that went out because of union obstinacy ("Full pay to the last day!") was Eastern.
#33
Join Date: Sep 2003
Location: Here Today Gone Tomorrow
Programs: NW Silver, CO Silver,SPG Gold, USMint Presidential, Chase/BA 100k, Airtran Wendy's cups
Posts: 815
Southwest only survived because they made one of that greatest fuel hedges of all times. They were paying $1/5 of the cost of fuel that other airlines were. When all other airlines were paying full retail at $150 a barrel SWA was pay sub $50. Now there fuel hedge has run of and there margins are tighter then ever. SWA pilots make more then any other pilots who fly the 737. If it wasn't for all the mergers they could be in a world of pain right now.
#34
FlyerTalk Evangelist
Join Date: Jan 2006
Posts: 11,439
I don't think there is enough data out there for you to make that statement, as the general public does not know what the "full cost" of airline travel really is. Just as with the horror stories about Obamacare causing prices to go through the roof and being unbearable, only to find out that Papa John's could provide all their employees with health care at the cost of 14 cents per pizza sold. We simply don't have the numbers out there to say that people wouldn't pay them. Fuel, not salaries, is BY FAR the biggest expense for airlines.