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Pilot, Mechanic Shortages Drive Airline Salary Increases

This year's Aviation Week Salary Survey revealed that an airline captain with the maximum number of years on the scale and flying the heaviest of aircraft earns $178,800 per year, an increase of 5.4% over the 2000 average of $169,674. The largest increase was at Delta Air Lines, where the senior-most captains now make $248,040, up from $209,388 a year ago, an 18.5% increase.

Southwest Airlines may have an edge in attracting new pilots because of its designation as one of the “Top Companies to Work for in America” by Fortune magazine.
According to Kit Darby, president of AIR Inc., the Atlanta-based company that provided the data for airline salaries, the increases are due to several factors—base pay increases, plus the introduction of new aircraft and technologies to manage and monitor the performance of the aircraft.

During the past year, entry-level pay for first and second officers at the major airlines rose 1.4% from an average of $32,269 a year ago to $32,724 this year. FedEx continues to offer the highest entry-level pay, while Delta pays the highest maximum level pay for pilots.

So what is the key differentiator for airlines as employers?

Recruiters say it is the type of aircraft flown, the rates at which pay increases throughout a career, retirement packages, number of vacation days and policies that allow pilots to sell flight days for training purposes.

Because of a shortage of experienced pilots, Darby said airlines are changing their recruiting requirements to meet, not exceed, FAA minimums, including eyesight correctable to 20/20. Some airlines also are providing assistance in gaining ratings prior to hire, as well as facilitating career transfers from affiliated regional airlines to the majors.

At Southwest Airlines, pilot applicants no longer need a 737 rating in order to get an interview. Instead, they can be selected and then given six months to earn the rating. The change, according to Southwest's Lorraine Grubbs-West, director of field employment, reflects the increased competition for the best pilots.

For military pilots, the pay scale is moving closer to that of commercial carriers, according to John Bird, program advertising officer for the U.S. Navy's Recruiting Command. Base pay for a naval pilot with five years' experience is $57,264 versus approximately $87,732 for a commercial pilot with the same amount of experience. The difference is that the naval aviators also receive housing/subsistence, incentive and continuation pay. The gap between military and commercial pilot pay escalates over time, but the Navy continues to boost incentive and continuation pay to offset the difference.

A shortage of airline maintenance technicians has most companies scrambling to attract and keep talented mechanics. United Airlines led the hiring surge last year by filling 60-80 mechanic positions per month. UPS Air Services plans to hire more than 125 maintenance technicians in 2001. Most airlines will continue to hire maintenance technicians this year to support an increase in the number of aircraft they have in service.

Brian Finnegan, executive director of the Washington, D.C.-based Professional Aviation Maintenance Assn., said there are 140,000 licensed airframe and powerplant (A&P) mechanics in the U.S., although the number of people who actually work in the industry is lower.

Finnegan said the shortage of mechanics shows up most in the inability of companies to grow their maintenance businesses. "There is more work than there are people to get it done," he said. "I have people tell me that they are busy, and if they had 20 more mechanics with real experience, they could build another hangar."

In addition, fewer students are enrolling in A&P programs, and only 30% of those who begin actually finish. Part of the problem is the focus of U.S. educators on preparing every high school student for college rather than directing some toward trade school.

"That's a real shame," said Finnegan. "There is a good return on the investment in an A&P education, and it can be a stepping-stone to increased responsibility in the maintenance and flight operations field."

Finnegan and others are working to attract young people to the aviation maintenance field.

Predictably, maintenance technician compensation has increased steadily during the past decade to reflect the shortage of qualified personnel in the industry as well as the growth of responsibility and advancements in aircraft technology.

Some airlines are paying sign-on bonuses, and base pay for maintenance technicians ranges from $11-18 per hour. The actual compensation level depends on whether a maintenance technician works for an air carrier; a maintenance, repair and overhaul shop; a corporate flight department; or a fixed-base operator.

A&P training may even be an entree to entreprenuership. The Assn. of Women in Aviation Maintenance reported last year that one of the fastest-growing business ownership opportunities for women in aviation is owning a small maintenance, repair and overhaul operation.

 
Annual Average Airline Pilot Base Pay
Position 2nd/1st Officer 1st Officer Captain Captain
Yr. Entry 5 10 Max
Alaska $39,228 $77,208 $146,556 $148,320
America West 36,552 77,220 125,832 132,504
American 27,792 92,400 143,976 201,384
Continental 30,000 95,184 147,420 193,656
Delta 33,720 97,896 157,152 248,040
Northwest 30,180 94,416 142,992 207,372
Southwest 37,212 84,528 144,624 147,804
TWA 30,000 58,452 98,940 109,776
United 32,076 102,324 148,464 216,048
US Airways 36,000 87,792 140,532 180,744
Airborne Express 26,268 79,356 134,508 164,388
DHL 26,796 72,180 122,352 143,388
FedEx 46,284 96,972 156,228 191,436
UPS 26,004 101,892 192,732 196,560
Average Annual Pay 32,724 87,732 143,652 178,800
Source: AIR Inc.

 

Airline Pilot Pay
Position 2nd/1st Officer 1st Officer Captain Captain
Yr. Entry 5 10 Max
Major Airlines Annual Average Pay $32,724 $87,732 $143,652 $178,800
National & Jet Operators Annual Average Pay $26,256 $43,392 $79,912 $89,016
Source: AIR Inc.

 
Aviation Maintenance Technician Wages
Airline Starting Hourly Pay
Delta $15.27
Southwest $16.70
US Airways $16.65
Continental $13.11
American $14.18
Northwest $15.61
United $15.17
Alaska $14.35
TWA $13.82
America West $14.79
UPS $13.40
FedEx $16.71
Airborne Express $16.00
Aloha $16.71
American Trans Air $10.71
Hawaiian $15.02
Source: Aircraft Mechanics Fraternal Assn.

 

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