I came across this article Labour rates could prove disastrous in US | Centre for Asia Pacific Aviation – CAPA. and I am not exactly sure what to make of it. If you work in the airline industry you know more and more domestic flying is being shifted to the regional airlines. However there are two issues that loom on the horizon that I would guess will cause the regional airline industry to once again adapt. I am hoping the industry does not adapt at the expense of my job or pay.
The first issue that will shape the regional airline industry for 2011 and beyond is the rising fuel prices. We all now as fuel prices rise so does the cost of operating 50 seat regional jets. I would have to say smaller communities with already limited airline service will have to go. It makes no sense to fly a 50 seat regional jet from MSP to STC and back.
Second issue facing the regional airline industry is what is going to replace (if anything) all the 50 seat jets scheduled to come out of service between now and 2016? There is little to no chance, given the fuel prices, that you will ever see another 50 seat jet regional jet operating in the US in the next 8-10 years. Will the mainline pilots relax scope for pay and let the regionals fly a the more cost effective 76-100 seat jets? Doubtful.
One thing is for sure the next few years are going to be just as volatile as the last several years.
Post a comment and let me know what you think.
Labour rates could prove disastrous in US | Centre for Asia Pacific Aviation – CAPA.
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