Tuesday, May 11, 2021

Keeping pilots in the Air Force, in the face of renewed, post-pandemic demand from airlines

 I spent a good deal of time last year working on understanding the internal labor market of the Air Force, and how it interacts with the larger American labor market.

During the pandemic, with airlines cutting back on flights, it may have seemed as if the problem of retaining pilots had eased. But airline demand for pilots is growing,rand the Air Force will have to think creatively about retention of pilots who are at or near the end of their service obligation.

Here's a short piece in Defense One, by two Air Force officers:

The USAF’s Bad Bets on Pilot Retention Show It Needs Outside Help. Service leaders think the same old tactics can reverse a pilot shortage in a resurging economy.  By BRIAN KRUCHKOW and TOBIAS SWITZER

"Despite the pandemic, the Air Force is still short of pilots, thanks to low retention and strong airline hiring. Before COVID-19 reached the United States, the Air Force had a deficit of more than 2,000 pilots, requiring $15 billion to train replacements. The pandemic temporarily paused airline hiring to the Air Force’s relief, reducing pilot losses, but Covid-19 also hampered pilot training, leaving the overall shortage almost unchanged. Instead of using the reprieve as an opportunity to try bolder retention initiatives, the Air Force recently placed a large wager against airline recovery and renewed airline pilot hiring.

...

"Before the pandemic, the Air Force offered retention contracts as short as three years to pilots completing their initial ten-year commitments. Seizing on the collapse of airline hiring in 2020, though, the service changed the terms of its contracts. Gone are three- and four-year contracts; the shortest pilot contract is now five years, which gets you about 70 percent of the maximum retention bonus. To get the full amount authorized by Congress—$35,000 per year—the Air Force requires at least an eight-year commitment. These are hardball terms compared to past years and are a strong bet that airline pilot hiring will be weak for an extended period. 

...

"Air Force pilots are poised to leave active duty, not stay, according to our research. Despite the incredibly dire economic and health conditions in 2020, only 51 percent of the Air Force’s eligible pilots signed retention contracts, a small increase from recent years. Of those pilots who signed retention contracts last year, though, we found that 33 percent signed on for only three years. The rest stayed on active duty without service commitments and are now free agents able to depart on short notice. Air Force pilots are keeping their options open and believe airline hiring will return soon, offering better opportunities.  

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Earlier:

Tuesday, December 1, 2020

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