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An Honorable Solution To Promissory Notes

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Old 11-08-2016 | 05:33 AM
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Default An Honorable Solution To Promissory Notes

Where I am applying for employment in an aircraft for which I am already rated, I avoid "training" contracts. If the amount demanded is reasonable, I inform them I don't want to sign a training contract but will accept a salary minus the contract amount if they agree to pay me that sum (in writing per a letter of offer) at the conclusion of the timeframe stipulated. If they refuse these terms I politely decline.

I hope this sounds honorable.
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Old 11-08-2016 | 07:56 AM
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Those sound like great terms that benefit both parties, thanks for sharing.
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Old 11-08-2016 | 09:40 AM
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That is the way it should be. Instead of punishing the employee for finding a better job, how about simply rewarding the ones who stay long enough to cover the cost of training. Make it a retention bonus, not a training contract.

In my opinion, if you are running a business, it is your job to absorb the risk of training new employees. If you are worried that pilots will leave within a 2 year period, then that means you need to improve the working conditions. Since you take the risk, that means that you get a larger reward (the profits).
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Old 11-09-2016 | 06:25 AM
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Without a desire to create drama, these are my reasons for objecting to training/promissory agreements:

1) I have seen pilots fly beyond their abilities because the debt was mentioned if they did not accept the flight.

2) Most contracts are written that if a pilot leaves even though he/she has legitimate problems with the company violating regulations or failure to maintain aircraft it is always the pilot's fault and the debt is accelerated with interest and due immediately. There is almost always a "with cause" termination clause in the agreement, watch out. In this case a "with cause" termination will be rationalized by the pilot's refusal to fly a dangerous aircraft, denying it was ever dangerous and the pilot refused to fly "to the equivalent of their ratings and certificates". The pilot is then forced to choose between accepting the mission, refusing it and being sued, contacting the feds, etc.

3) While it takes months or years to contest the validity of a promissory note, it takes only days for a clever operator to file a delinquency report against a debtor (pilot) and severely damage their credit.

4) Many companies now see the promissory note as a means to cope with the pilot shortage. I have seen notes above $20,000 for gigs flying medium piston twins when the pilots already possess completely satisfactory certificates and ratings for the make and model to be flown.

5) Promissory notes punish good pilots for the actions of dishonorable pilots who do not keep their word under reasonable conditions. If I say I will work a year, I will do so unless I am asked to violate regulations, falsify anything, or put the safety of my passengers at risk of life or limb.

6) I believe the solution to pilot retention is an honest and honorable relationship between pilot and operator. A well managed business that encourages mutual respect will always keep their employees longer.

Okay, that's out of my system.
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Old 11-09-2016 | 05:11 PM
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Originally Posted by Safety
Where I am applying for employment in an aircraft for which I am already rated, I avoid "training" contracts. If the amount demanded is reasonable, I inform them I don't want to sign a training contract but will accept a salary minus the contract amount if they agree to pay me that sum (in writing per a letter of offer) at the conclusion of the timeframe stipulated. If they refuse these terms I politely decline.

I hope this sounds honorable.
Whatever floats your boat.

I'm not going to agree to take a job with a chunk of money removed, and held until I complete a given time period. I'll simply find another job.

Honorable is agreeing to something and doing it, not telling an employer "tie my hands behind my back so we can both trust one another."

If I work for an employer, the compensation I'm given for my services is mine. It's not the employers to hold or hold over me.

Some do training contracts. Some withhold pay. I've seen some require a promissory note, and others require the applicant to cosign a loan which is repaid monthly. I won't do it, but if you will, by all means bend over and take it.

If an employer wants me to stay for a period of time and I agree, I do it based on a hand shake, and then I honor my agreement. That's honor.

Sacrificing your pay for a period of time, voluntarily, in order to get the job is more like...prostitution.
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Old 11-13-2016 | 11:35 AM
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Don't take a job with any sort of financial strings attached. Easy, especially these days.

You can always make an exception for a really sweet gig which requires an expensive type where you know you would plan to stay for the duration anyway.
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Old 11-14-2016 | 05:40 PM
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Originally Posted by rickair7777
Don't take a job with any sort of financial strings attached. Easy, especially these days.

You can always make an exception for a really sweet gig which requires an expensive type where you know you would plan to stay for the duration anyway.

Thanks, man. So many decisions to make outside of the cockpit as the career grinds along.
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