Swelling pilot pay could force US regionals to contract, impacting communities: CEOs

Higher pilot pay rates at regional airlines could become a problem as carriers seek to balance a pilot shortage with maintaining flights to smaller US communities. Speaking at the annual Regional Airline Association (RAA) leaders conference in Washington, DC on 20 September, airline chiefs say a shortage of cockpit crew has driven up pilot pay, with no telling when or if such pressure will ease. “We are a bit nervous about the rates,” says SkyWest Airlines CEe Chip Childs, adding that recent salary increases are “deeply concerning” for airlines. “We are in a bidding war.. It’s not good for any of us,” says CommutAir CEO John Sullivan. GoJet Airlines CEO Rick Leach adds, “We never thought we would see rates at this level. It’s significantly more than any of us ever anticipated.” The sustainability of new pay schemes is “yet to be written”. Numerous US regional airlines recently hiked pilot pay rates amid an industry-wide effort to maintain flight-crew levels to keep pace with surging travel demand. Thousands of pilots at Mesa Airlines, CommutAir, Piedmont Airlines, PSA Airlines, Horizon Air and Envoy Air – all represented by the Air Line Pilots Association, International (ALPA) – have secured new contracts with higher wages. Pay hikes vary by airline. Mesa boosted pay 118% for first-year captains and 172% for new first officers, with wages starting at $150 hourly and $100 hourly, respectively. First officers at CommutAir now start at $72 hourly, with captains at $100.<br/>