Sunday, October 25, 2015

Global Airlines-Is it Fair?

Government subsidies have always been a major part of the aviation industry.  Current long haul carriers receiving government subsidies include Qatar Airways, Etihad Airways, and Emirates.  They have received a whopping $39 billion dollars in subsidies (Reed, 2015).  U.S. carriers have also received government subsidies in the past. From 1957 to 1984 Delta, United, and American Airlines were allocated about $938 million dollars and nearly every major american airline was bailed out after the September 11th terrorist attacks. The reason for the subsidies from 1957 to 1984 were to create an infrastructure and cultivate a starting industry.  This provided a way for air carriers to fly to small populations it would otherwise not go to.  (Investopedia, N.A.)

Foreign air carriers are receiving incredibly low interest rate loans on there newly purchased aircraft. A quasi-governement agency called the ECA acts as an intermediary between the Export-Import bank and the exporter, such as Boeing.  They figure out the loan situation. Under a new program foreign air carriers are allowed to acquire incredibly low interest rates before delivery and lock them in.  Foreign airlines are receiving interest rates below 2%. (Meecham, 2012)  I feel that foreign air carriers are being given to much of an advantage.  American carriers were subsidized, but only to start up the industry and infrastructure. Foreign carriers seem to be taking advantage of the system through treaties and low interest rate to have an immense advantage. They should have some help as they start there business, but not the amount that has been given. It's tough to start a airline with competing with all of the carriers that have been in the industry for a while, but they are receiving far to much of an advantage. It is not currently a fair industry.

References:

Investopedia. (N.A.) How do government subsidies affect the profitability of the airline industry? Investopedia. Retrieved from http://www.investopedia.com/ask/answers/061515/how-do-government-subsidies-affect-profitability-airline-industry.asp

Mecham, M. (2012, August, 1). Ex-im bank uses new financing guarantee. Aviation Daily.  Retrieved from http://aviationweek.com/awin/ex-im-bank-uses-new-financing-guarantee

Reed, T. (2015, April 15). U.S. airlines have paid the government $250 billion- amazing some claim they are subsidized. Forbes. Retrieved from http://www.forbes.com/sites/tedreed/2015/04/14/u-s-airlines-have-paid-the-government-250-billion-amazingly-some-claim-they-are-subsidized/

Sunday, October 18, 2015

The Cargo Industry and Flight Duty Changes

The Colgan Air crash was a defining moment in aviation history and led to some major changes to flight duty and rest requirements.  The new requirements minimize pilot fatigue, but also increase costs to airlines.  According to the (FAA, 2011) the new requirements vary based on when the pilots day begins.  Also, it limits flight time to a maximum of eight or nine hours, with a ten hour minimum rest period.  Next, the new rule combats cumulative fatigue with 28 day and annual limits on flight time.  Even with all of these requirements the airlines and pilot must both believe the pilot is fit for duty.  When this rule came out cargo operations didn't want to copy because it would destroy operations.  Cargo carriers often are on demand 24 hours and it would cost them a lot of money.  So the Cargo operators ended up being exempt from the new regulations and just kept the old one, which is CFR 135.267.  (FAA, 1996) Under these rules Crew member's flight time could not be over 500 hours in any calendar year, 800 hours in any two consecutive calendar months, and 1,400 hours in any calendar year.  Also, this rule has much more lenient rest requirements, that in some cases may not be adequate.

Another reason I believe cargo operators were able to become exempt is because they do not carry the mass public.  So from the perspective of a citizen it wouldn't matter to them because they would not be in harms way from a cargo pilot with fatigue as much as an airline pilot.  Also, if a cost-benefit analysis was done I believe one would see that the cost to cargo operators would far out weigh the benefits of this rule.  Personally, I believe that all operators should use the new rule because all lives are equal.  Just because there are less souls in a cargo airliner, it does not mean that they are any less valuable.  If these new rules were to be enacted for cargo pilots this would be a very good thing.  The job would be much more enjoyable and much safer.  I would be more interested in a career flying cargo if these rules are to be put in place for there operations.

References:
FAA. (2011, December 21). Press release. FAA Issues Final Rule on Pilot Fatigue. Retrieved from https://www.faa.gov/news/press_releases/news_story.cfm?newsId=13272

FAA. (1996, January 26). FAA. 14 CFR 135.267 Flight Time Limitations and Rest Requirements-Unscheduled One-and Two Pilot Crews. Retrieved from https://www.law.cornell.edu/cfr/text/14/135.267

Sunday, October 11, 2015

The Regional Airlines and Professionalism

Everyone in the aviation industry knows something about the so called, "Pilot Shortage", but what is true.  On one side some believe that there is going to be a major shortage in pilots and it will start through the regionals.  According to Aviation Week (2015), 20,000 pilots are expected to retire in the next seven years, due to the mandatory 65 age retirement.  Also, they go on to state that fewer students are deciding to become pilots.  This is due to high costs of education and high hour requirements set forth by the FAA.  On the other hand Tallman J. (2015), says that the Airline Pilot Association states that there is not a shortage of certified pilots.  So the pilots may be out there, but are not willing to work for the regionals.  This almost certainly to the low starting pay.  Also, Tallman, representing AOPA, states that general aviation is the foundation that provides the airlines labor force, although general aviation has not been a high priority when it comes to policy making lately.  I believe that no one can deny a lack of pilots in the regional airlines.  This is from a multitude of factors.  First, the people who may be interested in becoming pilots may not be able to afford the increased cost of schooling. Also,  when done with school a student has to earn many hours, while still holding student loans.  On the other hand there are many certified pilots who could fly in the regionals, but are choosing not too.  This could be due to the lifestyle or the pay of that career.

The new regulations have definitely put a damper on perspective pilots.    The regionals are starting to understand the implications of the pilot shortage and how to make there company's more attractive.  Endeavor has a couple interesting propositions for its new employees.  First, Endeavor is giving an $80,000 signing bonus over the course of 4 years, on top of regular pay, if you sign a contract with there company.  This is meant to pay of pilot loans of prospects.  Another attractive offer from Endeavor is a guaranteed interview with Delta Airlines in a sort of pathway program.  This is accomplished because Delta is a parent company of Endeavor. It just goes to show how quickly the industry is evolving.  Although ALPA is responsible for the benefit of many pilot's there are other organizations that benefit the aviation industry.  This includes IAM or the International Association of   Mechanists and Aerospace workers.  IAM is a union that works with companies, such as Boeing or Southwest Airlines.  

Professionalism is holding yourself up to a higher standard.  During the Colgan accident the pilots were just going through the motions and not paying attention to what they were supposed be doing.  Nor did the see the warning signs that ultimately lead to there demise.  Not only did the pilots violate the non essential conversation rule, but management did not train the captain appropriately to fly the airplane.  There was plenty of blame to go around and a blatant lack of professionalism that lead to this accident.  I believe lack of pay is a contributing factor as it makes pilots lead a lifestyle that provides less sleep and ultimately more stress.  Ways that I will implement professionalism is by making sure a get help when I need it and coach or help my co workers when ever possible.  Also, I will make sure to organize not only my work life, but also my personal life.  Organization can provide a decrease in stress and safer work productivity.  The most important thing is to just hold yourself to a higher standard and put your all into what you do.  

References:

Aviation Week. (2015, February 16). The coming US pilot shortage is real. Retrieved from http://aviationweek.com/commercial-aviation/coming-us-pilot-shortage-real

Tallman, J. (2015, May 5). Pilot shortage: Yes or no? AOPA. Retrieved from http://www.aopa.org/News-and-Video/All-News/2015/May/05/osu-pilot-supply-conference

Sunday, October 4, 2015

UAV's

Civilian UAV's are an incredibly fast moving market.  Even though they are being used now, there will be many more purposes in the future.  Currently, drones are being used for hurricane hunting, 3-D mapping, protecting wildlife, on farms, and during search and rescue missions (Handwerk, 2013).  UAV's making hurricane hunting much safer, as you can imagine.  The human element no longer needs to be in harms way to collect data.  3-D mapping and is quite monotonous, so it makes sense to hand a job like this to an unmanned aircraft. Spraying fertilizer on a farm can be hazardous so this reduces risk.  Finally,  with a drone you can travel into areas of more risk, such as a dangerous search and rescue.  UAV's are being regulated by the FAA.  Currently there are two ways to get FAA authorization for a civil UAS. One way is to receive Section 333 exemption.  This is a granted exemption in accordance with Section 333, as well as a civil Certificate of Waiver or Authorization.  This is mostly used for low-risk environments. The other route is to get a Special Airworthiness Certificate.  In this situation an applicant must describe any and all aspects of there system, as well as where they are going to fly it (FAA, 2015).

Due to the vastly growing use for a UAV I assume they will be integrated into the NAS in at least the next 10 years.  The process is sure to be long and the FAA would probably consider implanting it in steps.  The first problem is going to be deciding where a UAV will be legal and safe to fly, especially in urban areas.  For instance if amazon were to deliver with drones where would be a safe route to fly in order to get to your house.  If an unidentified flying object were to be close to your property some might take action, such as shooting it.  Another problem is UAV's interfering with manned aircraft.  This could lead to disaster if the UAV were on a collision path.  The general population may not feel welcome to the idea of UAV's for these reason's.

UAV's have taken the soldier out of harms way, but that brings with it a new set of challenges.  With this system a soldier can go to war in Afghanistan and be home for dinner.  What a crazy thought!  It's safer and provides convenience that has been unheard in past wars or civilization. Targets can be identified and killed, as well as being able to watch over soldiers so they can get some shut eye on the battle field. Though this sounds like an amazing addition to the United States military. The major drawback are financial and most of all ethical.  Of course a unmanned plane is going to be expensive, but how exactly due ethics come into play.  A movie called "Good Kill" (2014, September) exemplifies the moral/ethical concerns of UAV's in todays military.  In the movie Good Kill Major Thomas Egan went from flying F-16's directly in Afghanistan to flying a UAV remotely from Las Vegas.  He is challenged with the feeling of being a coward and would give anything to be actually back in Afghanistan, but the demand is shifting towards drones and he won't be shipped back.  This man see's horrifying things everyday, then is sent back to his family as if nothing happened.  This plays very strongly on Major Egan's conscience and show's a very good depiction of the ethics of UAV's in war.  Doing research I found potential management and flight jobs here if interested.
References:
FAA. (2015, March 17). Civil operations (non-governmental). Federal Aviation Administration. Retrieved from https://www.faa.gov/uas/civil_operations/

Handwerk, B. (2013, December 3). 5 surprising drone uses (besides amazon delivery). National Geographic. Retrieved from http://news.nationalgeographic.com/news/2013/12/131202-drone-uav-uas-amazon-octocopter-bezos-science-aircraft-unmanned-robot/

Amin, M., Cartier, N., Foreman, Z., & Niccol, A. (2014, September 5). Good kill. United States of America: IFC Films.