The BI-ME eNewsletter
LOGIN:
Pilot shortage challenges Middle East aviation, says AT Kearney
Source: BI-ME , Author: BI-ME staff
Posted: Tue March 25, 2008 12:00 am
www alibaba.com
Meet worldwide manufacturers, wholesalers
& importers
in Alibaba now!

UAE. While airlines fill their aircraft with increasing passenger loads, the struggle to fill the flight decks is reaching crisis level in the global air travel industry.

According to AT Kearney, a global strategic management consulting firm, the shortage of commercial pilots in the skies above the GCC and across the world is now serious. Industry experts predict at least 200,000 new pilots will be needed in the next two decades. The number of pilots required in the UAE and other GCC countries will increase by 75% by 2020.

Bill McKnight, Associate Director with AT Kearney’s global airline practice and recent speaker at the Middle East Aviation Summit in Abu Dhabi, noted that the extraordinary growth of the airline industry has put a great strain on attracting and retaining qualified commercial pilots.

“Investments are in place to fuel industry growth in the Middle East, but the shortage of pilots is rapidly developing into a potential constraint on growth. The double-digit growth of passenger traffic in the past four years, and the expected delivery of 5,000 aircraft throughout the industry in the next five years means more flights, hence the need for more pilots,” said McKnight.

McKnight says the looming pilot shortage could create opportunities in pilot training. “A large number of pilots are reaching retirement age and the pool of pilots trained through the military is considerably smaller than it was twenty years ago,” he says.  ”The only solution is for airlines and flight training schools to forge partnerships that will result in a win-win situation for both parties”.

In addition to training, McKnight says the job conditions for pilots have changed dramatically in the past decade. “Global air travel has generated high demand while the advent of low-cost carriers has put a strain pilot compensation packages,” he says. “Reducing the salaries and increasing pilot productivity takes a lot of glamour out of the job, particularly given the high cost of initial training.”

The Middle East is predicted to be the fastest growing region for passenger traffic, with an average annual growth of 7% to 8% between 2007 and 2015. This surpasses the global average of 5%, according to AT Kearney’s estimates, with carriers in the Middle East recording an 18.1% increase in passenger traffic in 2007.

Although these circumstances may not seriously affect the booming aviation industry in the Middle East yet, once the aircrafts currently on order from the various GCC airlines are delivered, the region may be faced with a dire issue.  

“The GCC must produce more local pilots to offset the challenges of recruiting expatriates to fill this gap,” says Maktoum al Maktoum, Director, AT Kearney Middle East.

Additionally, as the global shortage worsens, it will become increasingly difficult to lure expatriate pilots away from their home countries where good flying jobs will be more widely available.

MIDDLE EAST BUSINESS COMMENT & ANALYSIS

date:Posted: July 31, 2010
INTERNATIONAL. Peter Grauer, the Chairman and CEO of Bloomberg, is a man with a mantra and he repeats it every chance he gets: "We have an aspiration at Bloomberg to become the most influential news organisation in the world."
date:Posted: July 31, 2010
LEBANON. Half of TMT organizations find inadequate budgets to be biggest barrier to keeping information secure as cyber crime, piracy and fraud become growing global reality.
date:Posted: July 31, 2010
INTERNATIONAL. If the DJIA where to fall by more than 20% from the present level there would be further massive fiscal and monetary stimulus packages, not just in the US but worldwide.