10
GA
/ Vol. 5 / No.4 / APRIL 2013
Business
CEO of AviationCV.com,
Skaiste Knyzaite.
With the Asia-Pacific airline industry
poised for yet further solid growth in
2013, much attention has been paid to the
wealth of job offers available to foreign
pilots. Centred primarily on China and
the burgeoning ASEAN member states
led by Indonesia, airlines continue to
draw foreign aircrew with the attractive
remuneration packages routinely offered.
However, often slipping under the radar
for pilots Vietnam commands a sizable
base of expat pilots set to expand as the
country takes on initiatives to boost its
aviation sector over the coming months.
Conducive to the country's rising middle
class, a greater share of the population now
has the discretionary income to travel abroad,
paving the way for a number of new airlines
concentrated largely in the low cost segment.
Given these circumstances and the potential
for growth, we ask what the Vietnamese
market holds in store for foreign pilots.
For a nation with a relatively small
landmass, Vietnamese airlines employ close
to 670 pilots, 865 technical staff and over
2,000 flight attendants dispersed among
the nation's five major carriers. However,
owing to long-running training deficiencies
and a shortage of highly experienced
personnel, a considerable portion of these
numbers continue to be sourced from abroad.
Indeed, of the 800 pilots currently filling the
ranks in the nation's flag carrier, Vietnam
Airlines, 360 are non-Vietnamese nationals.
The same conditions prevail elsewhere,
with up to 40 foreign pilots accorded to
Air Mekong, 50 to VietJet Air and 58 with
Jetstar Pacific Airlines constituting close
to 95 percent of total aircrew for the latter.
Ensuing to the expansion plans of the
nation's largest carrier, Vietnam Airlines, will
be an increase of its fleet number to 115 as
well as broadening of the pilot base to 1,200
over the next two years. In addition, VietJet
Air has sought new destinations in Korea and
South-East Asia for which to spread its wings,
taking advantage of the accelerating demand
for budget air travel to and from Vietnam.
Perhaps interesting to note is that despite
sweeping improvements to the output of
local flight training schools, there remains
a heavy dependence on foreign crew. In
the preliminary growth plans of Vietnam
Airlines, the company reports that up to a
quarter of new pilots will be expats. This
contributes quite considerably to company
expenditure, with salaries for foreign crew
averaging around US$10,000 per month for
a single pilot. Engineer salaries also deviate
little from this sum, with foreign personnel
commanding no less than $7,000 upon hiring.
Even though pilot wages account for the
second largest expense of Vietnamese carriers,
it has proven difficult to attract the critical
number demanded as competition for qualified
pilots remains high. Taken comparatively,
the remuneration packages awarded to expat
crew can range anywhere between two to
eight times that of their local counterparts.
The sizable outlay and input costs for
airlines in Vietnam have measured difficult
times for a number of carriers. As recently as
this week, Air Mekong have announced the
suspension of air services pending a complete
change in their fleet structure. According
to the airline, central to the company's
financial problems was the less than ideal
fleet decision, compounded by rising fuel
and staffing expenditures. Furthermore, the
culmination of unresolved debt obligations
for Indochina Airlines led to their untimely
demise in 2009, after only a year in operation.
While profitability struggles are evident, the
same situation does not apply for the low
cost carrier, VietJet Air, which continues to
operate aircraft at maximum utilisation levels
while employing a largely expat pilot base.
With the drive for a greater number of
expat pilots in the country, many airlines
have consulted the services of a number of
aviation recruitment agencies. While this
has gone far in solving the staffing issues
of Vietnamese carriers, there have been a
handful of cases whereby pilots have been
left in less than favourable circumstances.
This may include anything from contractual
non-compliance of the airline, unjust treatment
on the job or delays over salary remittance.
The problem is magnified when dealing
with unscrupulous recruitment agencies that
are either slow to mediate between issues
or fail to respond entirely. It is therefore
fitting that pilots would acquaint themselves
with their employment agency in order
to ensure that tangible support is offered
throughout the full length of the contract. ·
Pilot shortages
spell further
opportunities
in Vietnam
National Airways Corporation recently signed a
new operator agreement with Punto Azul S.A for the
operation of three Embraer 145 Regional passenger
Aircraft. The agreement is expected to pave way for
a long term engagement between Punto Azul and
NAC in the areas of aircraft leasing, maintenance,
training and human capacity development in
Equatorial Guinea and the surrounding territories.
The three Embraer 145 Aircraft will be deployed
to Malabo to commence operations in April and May
2013, which will service the Oil and gas industry
as well as provide connectivity between Equatorial
Guinea, Sao Tome and Gabon. During the second
phase of operations, flights will be introduced to
Cameroon, Nigeria, Ivory Coast and Angola.
Known for their agility, reliability and fuel
efficiency, the 50-seater Brazilian made Embraer
145 will redefine air travel for both corporate
companies and regular travellers in the region.
Equatorial Guinea is taking considerable steps to
remove the country from the aviation blacklist and the
collaboration between NAC and Punto Azul is seen
as an acknowledgement of these concerted efforts.
"Punto Azul was founded on three key tenets; safety,
quality and reliability. As such moving forward, we must
plan and align our operations to these principles." said
Punto Azul General Manager, Mr. Rene Janata. Mr.
Janata added that safety is paramount at Punto Azul,
as is passenger comfort and personalized attention.
Ross Hollingworth, NAC's Director for Flight
Operations similarly noted that "NAC is excited about
the opportunity of providing the Aircraft services
to Punto Azul and its clients and is looking forward
to the challenges and accomplishments associated
with an operation of this type. Punto Azul and NAC
subscribe to the same quality and safety standards
which lends itself to a successful partnership"
NAC's Fixed Wing and Helicopter Charter divisions
offer locally based support services through its South
African network, while NAC's International Operations
division is the contracting arm within the NAC Group,
for flight operations worldwide providing long term
Aircraft leasing and management solutions for a broad
base of clients including the oil and gas industry, resources
sector and NGO's. NAC holds a Large (Part 121), Small
(Part135) and Helicopter Commercial Air Transport license
and is also a Helicopter Air Ambulance operator. NAC is
ISO 9001:2008 accredited and is a Flight Safety Foundation
Basic Aviation Risk Standards accredited operator. ·
NAC accepts first of three
Embraer 145's
NAC's Ross Hollingworth (Executive Director Operations) and
Martin Banner (CEO) take delivery of the first Embraer 145.