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freck

Pilots leaving the industry

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Our industry is suffering from a bad case of price fixing.  Unfortunately, unlike the energy companies that we so often cater to, heli companies have a gentleman's agreement in place to keep prices low.  If heli would gouge on a level more akin to your local gas station, the owners would see improved profits, pilots would see improved wages and clients would see improved morale in their service providers.

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It's not price fixing or a gentleman's agreement.  It's a race to the bottom where too many operators undercut each other for what little work is out there. There's far too many operators and far too many machines in our little industry.

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On 4/10/2018 at 10:07 AM, Twin Helix said:

Our industry is suffering from a bad case of price fixing.  Unfortunately, unlike the energy companies that we so often cater to, heli companies have a gentleman's agreement in place to keep prices low.  If heli would gouge on a level more akin to your local gas station, the owners would see improved profits, pilots would see improved wages and clients would see improved morale in their service providers.

I don't believe there is any price fixing in this industry. Its a dog eat dog industry. Besides price fixing is called Collusion and thats illegal. The only way its legal is if you call it OPEC then its legal.

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6 hours ago, just looking said:

I don't believe there is any price fixing in this industry. Its a dog eat dog industry. Besides price fixing is called Collusion and thats illegal. The only way its legal is if you call it OPEC then its legal.

Bang on JL! Most small businesses, helicopter operators included, would charge as much as they possibly could if the market would pay. It doesn’t make sense to price fix a low price, the whole concept of price fixing is to have a high price.

Now for a bit of a rant - OPEC is the Middle East oil producers union which had a lot of bargaining power pre-GFC so the oil price was high which led to a lot of investment & the helicopter industry in Canada exploded. Since the fracking technology developed by Canadians was exported to the US, the US has become self reliant with oil production so OPEC have lost all their bargaining power, their income has dropped, & so has the income of everyone else who relies on oil for an income. In hindsight the best outcome would have been to patent the fracking technology in Canada & restrict its use, then the US wouldn’t be self sufficient & we’d all be rolling in loonies. Unfortunately most of the companies in Canada at the time were global entities owned in the US so they had all the cards.

 The state of the industry & pilots income is not related to whether or not Helicopter operators are [email protected]$#holes, or price fixing, or in a conspiracy to keep pilots in poverty; we are a pawn in a global economy & the people playing the game don’t care if we survive or not, they have their own income to worry about. Remember the golden rule - he who has the gold makes the rules. As a pilot we’re along for the ride, & when employed by a small business struggling to survive we’re either part of the solution or part of the problem. I know, it sucks right?

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1 hour ago, Heliduck said:

Bang on JL! Most small businesses, helicopter operators included, would charge as much as they possibly could if the market would pay. It doesn’t make sense to price fix a low price, the whole concept of price fixing is to have a high price.

Now for a bit of a rant - OPEC is the Middle East oil producers union which had a lot of bargaining power pre-GFC so the oil price was high which led to a lot of investment & the helicopter industry in Canada exploded. Since the fracking technology developed by Canadians was exported to the US, the US has become self reliant with oil production so OPEC have lost all their bargaining power, their income has dropped, & so has the income of everyone else who relies on oil for an income. In hindsight the best outcome would have been to patent the fracking technology in Canada & restrict its use, then the US wouldn’t be self sufficient & we’d all be rolling in loonies. Unfortunately most of the companies in Canada at the time were global entities owned in the US so they had all the cards.

 The state of the industry & pilots income is not related to whether or not Helicopter operators are [email protected]$#holes, or price fixing, or in a conspiracy to keep pilots in poverty; we are a pawn in a global economy & the people playing the game don’t care if we survive or not, they have their own income to worry about. Remember the golden rule - he who has the gold makes the rules. As a pilot we’re along for the ride, & when employed by a small business struggling to survive we’re either part of the solution or part of the problem. I know, it sucks right?

You do know it was Americans who inventing fracking right? 

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4 hours ago, simpleton said:

You do know it was Americans who inventing fracking right? 

I’m biased I guess, having the technology didn’t help them until the Canadians showed them how to do it!

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Pilots are leaving the industry because new ones are stacked up out the door to replace them for cheaper. Simple supply and demand. Nothing more, nothing less.

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On ‎2018‎-‎03‎-‎25 at 11:59 AM, robottxt said:

Some of use aren't willing to wave the white flag of surrender.  If your ok accepting your situation and bearing it with little complaint,  Great,  i applaud you for owning it. But don't be that crab pulling others down.  Some of use still a have fight in us.

You got nothing. No control over wages, conditions or anything else. the supply and demand for pilots sets the rules. You are fighting with yourself. LOL.

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48 minutes ago, old said:

Pilots are leaving the industry because new ones are stacked up out the door to replace them for cheaper. Simple supply and demand. Nothing more, nothing less.

Sorry i have to disagree. New pilots are defiantly lined up. However companies are asking for rediculous PIC time like 2,000 TT and 500 on type. Low timers can't get jobs as they don't have the hours. 

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