Re: Canjet hiring FO's
Posted: Sun Jul 17, 2011 4:13 pm
No bona fide proof of this except for the fact that it is being done and I assume the management at the various companies involved aren't intentionally choosing a more expensive option simply to screw over their pilots. As far as anecdotal proof goes, I think one just has to look at the annual cycle that the charter business goes through.... The busy season in the Canadian charter business begins around December 15th and runs until about April 1st.... which means that for 2/3rds of the year, charter airlines in Canada do not require anywhere close to the same number of crews as they do in their peak season. In the case of Sunwing, last winter they operated 19 aircraft during the peak season and 7 in the off-peak season. In order to cope, they brought over around 100 foreign pilots who were already qualified on the 737. These pilots required 5 days of groundschool, 16 hours of sim time and 6 sectors of line-indoc before they were able to operate as a normal crew member. The company had to pay their salary plus a small premium to cover their living expenses while in the country. When their contract was over, they left and there wasn't any more cost to the company. This process also allowed the company to create partnerships with foreign airlines that permited them to shrink their operations even further during the off-peak season and gain additional revenue by contracting around 60 Canadian pilots out to other airlines this summer.
Compare that to the cost of training 100 new hires for the same period.... 3 weeks of groundschool, 50 hours of sim time and 100 hours of line-indoc. Essentially it is a 3 month process with the additional catch 22 being that the company needs to have the line indoc complete in time for the peak season but there's not enough flying to do all of the required line-indoc until the peak season begins. In the end, the training costs are much greater with a lot less scheduling flexability. The company must pay these new hire pilots the same salary that they would be paying a foreign pilot. The only difference is that the company will not have to pay the small cost of living premium. Finally, when the peak season ends in April, the company now has 100 excess pilots on its hands. What to do with them? It is uneconomical to keep them employed for work that doesn't exist. Likewise there are additional costs associated with laying off 100 freshly type-rated pilots for 8 months of the year... with the biggest one being that they may not come back in the fall when you need them again.
I think foreign contract pilots have a place in Canadian aviation... but only if there are 100% reciprocal agreements in place. While this means that there will be a few less jobs for Canadian pilots, the jobs that are available will be stable ones. The alternative is a mass boom/bust cycle in the charter business where nobody wins... not the pilots... not the employers and not the travelling public.
Compare that to the cost of training 100 new hires for the same period.... 3 weeks of groundschool, 50 hours of sim time and 100 hours of line-indoc. Essentially it is a 3 month process with the additional catch 22 being that the company needs to have the line indoc complete in time for the peak season but there's not enough flying to do all of the required line-indoc until the peak season begins. In the end, the training costs are much greater with a lot less scheduling flexability. The company must pay these new hire pilots the same salary that they would be paying a foreign pilot. The only difference is that the company will not have to pay the small cost of living premium. Finally, when the peak season ends in April, the company now has 100 excess pilots on its hands. What to do with them? It is uneconomical to keep them employed for work that doesn't exist. Likewise there are additional costs associated with laying off 100 freshly type-rated pilots for 8 months of the year... with the biggest one being that they may not come back in the fall when you need them again.
I think foreign contract pilots have a place in Canadian aviation... but only if there are 100% reciprocal agreements in place. While this means that there will be a few less jobs for Canadian pilots, the jobs that are available will be stable ones. The alternative is a mass boom/bust cycle in the charter business where nobody wins... not the pilots... not the employers and not the travelling public.