Originally Posted by SkyHigh
It would be a better decision to make 125K for 20 years than 250K for ten. Financial empires are built over time. Real estate takes time to appreciate and so do 401K's. It would be much better to receive a modest pay check over a longer period of time. In addition the taxes become crippling at the higher salaries and would take most of your earnings anyway.
SkyHigh
True. I am an advocate of a flat pilot payscale...each equipment and seat has a given hourly rate, period. There is no increase for longevity, this prevents the manager/thieves from promising high wages tomorrow if we work for sh*t today. We all know the real value of any sort of deferred compensation in THIS industry
Seniority still exists and is important, as it determines the seat & equipment (and thereby pay) you can hold as well as QOL. But there two huge advantages to this:
1) You are not giving management a Hamburger Today in exchange for Payment on Tuesday. Cash on the barrelhead!
2) Upstart carriers cannot undercut the entire industry simply because ALL of their employees are at the bottom of the longevity scale. You could still create a new airline, but your 1 year A320 CA will make as much as a 20 year CA at an older airline...you would have no artificial competetive advantage.