Threats to the industry.
12-15-2018, 08:16 AM
#1
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Joined APC: Aug 2018
Position: Test Pilot
Posts: 13
Threats to the industry.
I'm a hopeful on the outside looking in, and I've been talking to numerous friends on the inside at different airlines about the airline life, pay, unions, a whole host of topics to get a feel for the career.
One of the questions I ask everyone is: "What is the largest threat you see to the industry?"
It's a vague question because each airline, and for that matter each pilot, could perceive different threats based on where they are in seniority, the financial health of the employer, exposure to specific market segments, etc.
Universally, the top response to the question is:
1) Another terror attack
2) Oil (fuel) prices
3) The economy
4)...
I think numbers 1 and 2 above are applicable to every airline, with oil prices having a different effect based on hedging strategy, fleet efficiency, and a few other factors.
The economy is a different player as there really isn't a good definition of how "the economy" affects airlines directly, since there really isn't a good definition of what "the economy" really is. The stock market isn't a direct indicator of the health of an economy, but it is a good indicator of how people direct their money.
As it applies to an airline, jobs are a significant indicator of the health of the economy. Employed people have money coming in, unemployed people don't (generally). Jobs growth, and secondarily wage growth is a positive thing for an airline, all other factors being the same.
From my perspective, the current pullback in the stock market is indicative of the health of the stock market, not necessarily reflective of the true health of the economy.
As a Southwest pilot, what do you see as the biggest threat to Southwest airlines, aside from the global influences mentioned above (terror attacks, etc.)?
One of the questions I ask everyone is: "What is the largest threat you see to the industry?"
It's a vague question because each airline, and for that matter each pilot, could perceive different threats based on where they are in seniority, the financial health of the employer, exposure to specific market segments, etc.
Universally, the top response to the question is:
1) Another terror attack
2) Oil (fuel) prices
3) The economy
4)...
I think numbers 1 and 2 above are applicable to every airline, with oil prices having a different effect based on hedging strategy, fleet efficiency, and a few other factors.
The economy is a different player as there really isn't a good definition of how "the economy" affects airlines directly, since there really isn't a good definition of what "the economy" really is. The stock market isn't a direct indicator of the health of an economy, but it is a good indicator of how people direct their money.
As it applies to an airline, jobs are a significant indicator of the health of the economy. Employed people have money coming in, unemployed people don't (generally). Jobs growth, and secondarily wage growth is a positive thing for an airline, all other factors being the same.
From my perspective, the current pullback in the stock market is indicative of the health of the stock market, not necessarily reflective of the true health of the economy.
As a Southwest pilot, what do you see as the biggest threat to Southwest airlines, aside from the global influences mentioned above (terror attacks, etc.)?
12-15-2018, 10:21 AM
#7
Gets Weekends Off
Joined APC: Mar 2017
Posts: 459
12-15-2018, 10:26 AM
#8
Gets Weekends Off
Joined APC: Jun 2010
Position: DOWNGRADE COMPLETE: Thanks Gary. Thanks SWAPA.
Posts: 6,611
Not being able to “capture” all of the captain seats during the next merger/buyout. Definitely the biggest threat to SWA pilots’ careers (even if we don’t have any orders/deliveries scheduled at the time).
Definitely....
Definitely....
12-15-2018, 10:40 AM
#9
Banned
Joined APC: May 2015
Posts: 289
Originally Posted by WHACKMASTER
Not being able to “capture” all of the captain seats during the next merger/buyout. Definitely the biggest threat to SWA pilots’ careers (even if we don’t have any orders/deliveries scheduled at the time).
Definitely....
Definitely....
LET IT GO!!
12-15-2018, 10:42 AM
#10
Gets Weekends Off
Joined APC: Oct 2018
Posts: 300
There are enough things to worry about. Why add something out of your control to the list?
If you read how many times our economy has gone into recession in our brief 250 year history, the results will shock you; 47 times!
But on the sunny side, SWA is probably the best place anyone would want to be when one happens!
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