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Old 11-13-2007, 09:22 AM
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Default HKG may be more expensive than CDG

I think I was wrong. HKG may be equal to or more expensive than CDG.

The following letter was presented to the MEC from Captain BC to provide more information for pilots considering Hong Kong as well as a different perspective on it. We thank him for the work he put into the piece.

To My Fellow Crewmembers,

My wife and I just spent a 7 day “vacation” in Hong Kong, did a lot of research, and gleaned very useful and practical information pertaining to housing, schooling, transportation as well as other aspects of Hong Kong living that we’d like to share with other crewmembers considering Hong Kong as an FDA assignment. I was fortunate to have the opportunity to experience Hong Kong first hand and do it before the bid. I feel any person bidding Hong Kong should have as much information as possible. It will be best for both the company and the crewmember if the pilot (and his family) has realistic expectations of life in Hong Kong.

First some background. I’ve been with FedEx since 198x and having been flying in the Subic FDA since it opened in July of 1995. I am very familiar with flying for FedEx in an FDA and also very familiar with the difficulties, needs, and issues associated with living in a foreign domicile. I have flown and lived in the FDA both as a bachelor and married with a family. I have been both a commuter and have lived in Domicile. Hong Kong however will be much different from Subic. When appropriate, the issues I will refer to pertain to the Enhanced Option of the LOA, which I am choosing. Any costs I refer to are in US dollars. I have attempted to be as factual as possible. These are entirely my observations and opinions based on my 7 day visit and my 12 years of operating solely in Asia.

Housing. Housing in Hong Kong is very, very, expensive. We looked at apartments in Kowloon, Hong Kong Island, New Territories (Gold Coast) and Lantau Island (Discovery Bay and Tung Chung) where the airport is. The most family oriented areas with the most expats, families and family style activities are the Gold Coast and Discovery Bay. These areas have a nice variety of western style restaurants and grocery stores.

Most apartments in those areas are in the $3000 to $5000 and upwards rent range per month and are from 800 sq. ft. to 1500 sq. ft. for a two to three bedroom apartment with two baths. By far the majority of apartments are unfurnished but come with a refrigerator and stove. Furnished apartments will be more expensive. Most have a combination washer and dryer (one unit does both jobs albeit very slowly). Only the master will have a small closet. There is no storage space.

According to the realtor who showed us around, utilities should be $200 to $400 per month depending on the season. Unless otherwise stated, there is also both a management fee of 10% and a government fee of 5% added to the monthly rent. Furniture rental can be arranged and will run $300 to $400 per month depending. My household goods shipment of 500# will not quite be enough for my family and so I’ll have to send supplemental shipments via other means. All appliances in Hong Kong are 220 volt. Standard rental agreements are 1st months rent plus two months deposit. Also, unlike in the USA, the renter (me) pays the realtor 1 and a half months rent for their service.

As an example, I am planning on an apartment rental budget of $6000 ($2700 from the company and a $3300 kick in from me). This means my initial outlay before moving in will be 3 months x $6000 plus the 1 and half months to the realtor totaling $27,000. Plus my utility deposits and furniture rentals or purchases. I’ll try to get as long a rental agreement as I feel safe. Agents told me that landlords attempt to have as short a lease as possible because rents will go up 10% to 15% each year. My $2700 per month remains the same.

Transportation. Having a car is expensive and impractical. Public transportation in the form of buses, trains, subways, ferries and taxis is plentiful and fairly inexpensive. Ferries from Central (Hong Kong Island) to Discovery Bay on Lantau are frequent and comfortable. Buses serve the Gold Coast. My family and I will queue up and take some combination of public transportation absolutely everywhere we go. We’ll get used to doing this as our sole means of everyday transport as most do in Hong Kong.

Discovery Bay does not allow cars, but has frequent shuttle buses throughout the community to access the shopping and restaurants within. They do allow golf carts but to get on the list to have one costs $80,000. Monthly golf cart rentals are advertised within the community and are approximately $800 per month. Discovery Bay has buses that run frequently to the airport, which is on the other side of Lantau Island and only about a 25 minute ride. Gold Coast has shuttle buses also within the community as well as buses to the airport approximately 45 minutes away. Gold Coast is an hour bus ride to Central. Discovery Bay is a 20 minute ferry ride.

Cost of living. Hong Kong is very expensive. Rather than give a comparison of products and their costs I will quote the Mercer Human Resource Consultants. Mercer’s March 2007 survey lists Hong Kong as the fifth most expensive city in the world. “The information from Mercer surveys is used by governments and major companies to protect the purchasing power of their employees when transferred abroad. A basket of goods and services that cost $100 in the USA costs $143 in Hong Kong.” Enough said.

Education. Schooling in Hong Kong is expensive. Public schools are obviously not an option. There are a number of top quality International schools to choose from whose price ranges from $10,000-$18,000 per year. Most have a wait list. Many of these schools require the child to make a reservation as early as October of the year prior to the coming school year. An application form, entrance exams, entrance fees, and interviews of the child and parents are also prerequisites.

FedEx is giving priority to families leaving Subic so that their children will be back in the USA in time for that upcoming school year, which is much appreciated. Note that the Hong Kong domicile is opening in the middle of the school year. Also, for those who would like to opt for Home Schooling, schooling in an established and accredited school is mandatory for Hong Kong citizens and there is conflicting information regarding the options for expats.

Pollution. Hong Kong air is extremely polluted. It is one of the most polluted cities in the world. A BBC article in June 2007 says there are two main sources of this pollution. The 57,500 factories and 99 million people in the Pearl River Delta (I guess that’s why we’re putting a hub there) and local Hong Kong sources - emissions, power plants and marine traffic. “Part of the problem lies in the very structure of such a densely populated place as Hong Kong, where congested roads and high-rise building prevent pollutants from being dispersed by wind. Hong Kong’s tall building and narrow roads create a street canyon effect”. Google Hong Kong Pollution to find out more. That being said, and although it’s a concern, pollution is just something we will live with and can’t do much about.

Cats and Dogs. No pun intended. Hong Kong is not a very pet friendly city at least in the way most of us think of our pets. Not much in the way of green spaces and you’ll need to get to them via public transport. I did not see any pets on public transportation. Shipping pets is on your dime. Pets shipped from Subic Bay must spend 6 months in quarantine, also on your dime. I don’t know about quarantine from the USA.

Stuff To Do. Great world-class restaurants and excellent inexpensive local restaurants. Nightlife. Same time zone flying. Disneyland for kids, water park for all. Shopping for wife. Experience another culture. Opportunity to travel throughout Asia. Actually, lots of stuff to enjoy and we’re going to take the time to do it.

757 CA is a better gig at CDG than A300 FO at HKG. Not sure about 757 FO at CDG vs. A300 FO at HKG.

Last edited by Gunter; 11-13-2007 at 12:38 PM.
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Old 11-13-2007, 11:44 AM
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Thanks for the info!
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Old 11-13-2007, 12:44 PM
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Good info, good on Captain B for sharing his experience. Sounds like HK is expensive!?!

Looks like some guys would bid HK or Paris regardless of the incentive package. Eerily similar to the old dudes not wanting to utilize the enhancements to the retirement package we got for them (except that $25K in cash they can use either way no doubt).

$2700/month isn't even close, still going to bid.

500# won't cover the move, still going to bid.

No money for schools, has kids, still going to bid.

Could have added zero and some guys would still have bid it. At least if we had voted down we wouldn't have to worry about STVs.

We were much better off before the LOA.

Oh well.
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Old 11-13-2007, 12:59 PM
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Hmmmmm............$27,000 - $2700-$10,000(loan) = $14,300 out of pocket just to get the ball rolling for housing (not including education, furniture or transoprtation).........no thanks.
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Old 11-13-2007, 04:17 PM
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Here is the latest deal sweetner from the current QnA.


What is the current cost of the additional 500 lbs of household goods from OAK to CDG at the international express rate?

The Company has determined that the cost for 1,000 #’s is the same for 500 #’s, so the Company is willing to move 1,000 at its cost for this purpose. Any pounds over 1,000 will be paid for in full by the pilot at the Company’s cost.

Maybe they will raise it to 1500 # before it closes. Its not like we have to negotiate for it........
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Old 11-13-2007, 05:00 PM
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Same cost?

Fuzzy math.

1+1=4
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Old 11-14-2007, 05:27 AM
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Hey BC:

Can I ask why you did not include "They drive on the left side of the road..." in your Hong Kong email?

Jim Story felt it was important.

The Union did too.

I also think "what side of the street" one drives on is far more important than the actual, legitimate, information that you provided.
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Old 11-14-2007, 09:47 AM
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Originally Posted by skypine27 View Post
Hey BC:

Can I ask why you did not include "They drive on the left side of the road..." in your Hong Kong email?

Jim Story felt it was important.

The Union did too.

I also think "what side of the street" one drives on is far more important than the actual, legitimate, information that you provided.
Classic
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Old 11-14-2007, 01:36 PM
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From the Nov 19 issue of Business Week-

Monthly rent for luxury two bedroom unfurnished apartment as of March 2007

Hong Kong $6,398
Tokyo $4,105
Moscow $4,000
New York $4,000
London $3,889
Beijing $2,840
Paris $2,634
Rome $2,042
Sydney $2,037
Johannesburg $ 952

Only 5 shopping days left until the bid closes!!

Last edited by md11freightdog; 11-14-2007 at 01:36 PM. Reason: punctuation
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Old 11-14-2007, 07:07 PM
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Originally Posted by md11freightdog View Post
From the Nov 19 issue of Business Week-

Monthly rent for luxury two bedroom unfurnished apartment as of March 2007

Hong Kong $6,398
Tokyo $4,105
Moscow $4,000
New York $4,000
London $3,889
Beijing $2,840
Paris $2,634
Rome $2,042
Sydney $2,037
Johannesburg $ 952

Only 5 shopping days left until the bid closes!!
And...
Subic $700!
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