china skilled maint. shortage wtf

[paul1]

Labor Shortage Forces Cuts At Haeco

– A shortage of skilled labor is severely affecting Hong Kong aircraft maintenance provider Haeco, and this year will cause a second annual decline in airframe maintenance volume. Although group sales and profits rose in 2012, Haeco was unable to fully exploit strong demand for its services at its
Hong Kong base. It sold 1.3% fewer worker-hours last year than it did in 2011, says Chairman Christopher Pratt. "Haeco expects to do less airframe maintenance work in Hong Kong in 2013 than in 2012, with labor shortages re-stricting man hours expected to be sold in the first half to 1.2 million compared with 1.6 million in the first half of 2012," Pratt continues, adding, "Although these labor short-ages may ease in the second half of 2013, the first half shortfall is likely to have a material adverse effect on over-all group turnover and profit for the full year." Haeco has interests in Chinese mainland maintenance operations in-cluding Xiamen-based Taeco. "The group’s joint ventures in mainland China continued to develop technical capabili-ties," says Pratt in a statement accompanying Haeco’s an-nual results report. "Output was higher, but losses contin-ued to be incurred because of underutilization of facili-ties." ...
(Aviation Week)

 

[787nightmare]

May they ALL go out of business.
Bring it back to America where it belongs!

 

[eolesen]

In case you didn't pay attention in geography class, HKG isn't in China... No yet, at least.

And yes, they've had a shortage of labor since British rule ended, and the 40 year transition to Chinese control started in 1997.

 

[Desert Snake]

May they ALL go out of business.
Bring it back to America where it belongs!

Amen brother! No U.S. carrier should be allowed to outsource work. The FAA says you have to be able to read and write ENGLISH to maintain aircraft.

 

[Mach85ER]

In case you didn't pay attention in geography class, HKG isn't in China... No yet, at least.

And yes, they've had a shortage of labor since British rule ended, and the 40 year transition to Chinese control started in 1997.

Think of Hong Kong like Texas.

 

[Bob Owens]

When I spoke of the mechanic shortage in China some here scoffed. By the way Hong Kong is China, if you want to go there you need to get a special Visa from the Chinese Embassy. Despite having over a Billion people China is short on Aircraft Mechanics, not just in Hong Kong, an english speaking A&P would not have a problem gaining employment there. The fact is that if you are fluent in English you can do a lot better than being an Aircraft Mechanic even in China, so those who go through the trouble of learning English are not likely to waste that skill being an Aircraft mechanic, much like here.


Like I said we had AA by the nads. Mechanics shortages, limited capacity, especially for NB aircraft, and an old fleet of MD-80s. Instead the ATD squandered that advantage by giving the company everything they wanted, even the ability to conveniently adjust their timetable for RIFs to coincide with the retirement of old aircraft. Maybe we could not have stopped headcount from deteriorating over time, but we didn't have to settle for the worst deal in the industry on top of the headcount reductions. In the here and now they were stuck with us whether they liked it or not, our ATD gave them yet another pass.

 

[1AA]

In case you didn't pay attention in geography class, HKG isn't in China... No yet, at least.

And yes, they've had a shortage of labor since British rule ended, and the 40 year transition to Chinese control started in 1997.

For argument sake let us refer it as "Outsourcing to Asia".

 

[Rogallo]

He's always good for a history or geography lesson.....on an Aviation blog!!!

 

[eolesen]

When I spoke of the mechanic shortage in China some here scoffed. By the way Hong Kong is China, if you want to go there you need to get a special Visa from the Chinese Embassy.

You are an idiot, Bob. I've been working with a client in Hong Kong on & off since 2009, and never had to apply for a Chinese visa for any of those trips.

I didn't get a visa for China until I had a trip scheduled for Guangzhou and Beijing.

http://travel.state.gov/travel/cis_pa_tw/cis/cis_1136.html#entry_requirements

You do not need a visa for tourist visits of up to 90 days.

If you wish to travel to the PRC from Hong Kong, you will need a PRC visa and should apply at the PRC embassy or consulate where you reside.

DESCRIPTION: Hong Kong, a Special Administrative Region (SAR) of the People’s Republic of China (PRC) since July 1, 1997, has a high degree of autonomy, except in the areas of defense and foreign policy, and retains its own currency, laws, and border controls. It is composed of three geographic areas: the New Territories, Kowloon Peninsula, and Hong Kong Island. Hong Kong SAR is cosmopolitan and highly developed. Tourist facilities and services are widely available. The Hong Kong SAR Government website provides Hong Kong Fact Sheetson a comprehensive range of subjects. Read the Department of State’s Background Notes on Hong Kong for additional information.

 

[FWAAA]

When I spoke of the mechanic shortage in China some here scoffed. By the way Hong Kong is China, if you want to go there you need to get a special Visa from the Chinese Embassy.

Huh? Yes, Hong Kong is now again controlled by China (since the 1997 handover), but American citizens need no visa to visit Hong Kong. To visit mainland China, on the other hand, American citizens need a visa.

The article above doesn't discuss any labor shortages in mainland China - just the current shortage of labor in Hong Kong.

Desert Snake mentioned above the English language requirement to maintain aircraft. Given the widespread illiteracy shown here on this site everyday (not by you, Bob, but by many others) by people who can't spell or write coherently, the term glass houses comes to mind. English is widely spoken in Hong Kong - just like in every other former British colony like India, Singapore and Thailand.

Despite having over a Billion people China is short on Aircraft Mechanics, not just in Hong Kong, an english speaking A&P would not have a problem gaining employment there. The fact is that if you are fluent in English you can do a lot better than being an Aircraft Mechanic even in China, so those who go through the trouble of learning English are not likely to waste that skill being an Aircraft mechanic, much like here.

I'm not familiar enough with the job markets of Hong Kong or mainland China to opine on that. If there's a shortage of aircraft mechanics, then wages will, over the long-term, increase to help balance the supply of and the demand for maintenance personnel.

 

[Bob Owens]

I'm not familiar enough with the job markets of Hong Kong or mainland China to opine on that. If there's a shortage of aircraft mechanics, then wages will, over the long-term, increase to help balance the supply of and the demand for maintenance personnel.

Not quite that simple, there are other options to deal with shortages other than price.

The supply of mechanics has already diminished, unfortunately whats preventing the wage from going up is that the supply of labor is artificially inflated by mechanics working as much as 80 hours a week, in other words effectively doubling the supply of labor. Its a vicious cycle, the more the pay declines the more hours mechanics work to try and make up for it. Its not sustianable and sooner or later it will lead to catastrophy but for now we are actually helping the company suppress wages by working so many hours. Last week I was told that two of our members were quickly approaching FAA max duty and had to take days off. Its not exactly a strict duty time either.

The company admitted that their staffing is designed around 12% of all hours worked being OT hours. Right now they have enough people with the OT but its shifting. many mechanics are working in two industries and slowly withdrawing from the airlines as they either pass probation or hit top of scale at their other job, they not only refuse OT but they trade away some of their 40, but as I said thats resulting in guys ending up in a situation where they risk violating FARS. Right now the shortage is increasing, new entrants are few due to the low wages and those who remain are getting older, as you get older you start to realize that OT really isnt worth it. In some places with older workers even with the reduced pay mechanics dont want to be bothered with the OT, eventually we will see more and more of that in larger stations as well. older workers wont be swayed to stay and fix broken planes, they would prefer to go home and let them sit. You may see more and more flights being cancelled because there arent enough mechanics willing to put the hours in to repair them anymore. The problem with your theory is that we posess specialized licenses and the licence which may only take two years to get is really only a license to learn. Its takes quite a few more years to become proficient. With the average age being 55 you would need to see massive enrollment increases now in order to meet the needs that start peaking within five years. AA will be the bottom choice, we already see 20 year guys quitting AA, what chance will AA have in attracting or keeping talent with bottom of the industry wages, vacation, Holidays, sick time etc? If 20 year guys are leaving why would new hires consider staying? They cant even fill the vacancies they have now, they have increased the starting pay, in some cases right up to max rate (in T-II) but they stubbornly refuse to bring T-I starting pay up to the top rate. Once UAL settles their contract they may not have any choice. The best thing we could do now is refuse to work more than 40 and let them choke on their concessions.

 

[eolesen]

 

[787nightmare]

Not quite that simple, there are other options to deal with shortages other than price.

The supply of mechanics has already diminished, unfortunately whats preventing the wage from going up is that the supply of labor is artificially inflated by mechanics working as much as 80 hours a week, in other words effectively doubling the supply of labor. Its a vicious cycle, the more the pay declines the more hours mechanics work to try and make up for it. Its not sustianable and sooner or later it will lead to catastrophy but for now we are actually helping the company suppress wages by working so many hours. Last week I was told that two of our members were quickly approaching FAA max duty and had to take days off. Its not exactly a strict duty time either.

The company admitted that their staffing is designed around 12% of all hours worked being OT hours. Right now they have enough people with the OT but its shifting. many mechanics are working in two industries and slowly withdrawing from the airlines as they either pass probation or hit top of scale at their other job, they not only refuse OT but they trade away some of their 40, but as I said thats resulting in guys ending up in a situation where they risk violating FARS. Right now the shortage is increasing, new entrants are few due to the low wages and those who remain are getting older, as you get older you start to realize that OT really isnt worth it. In some places with older workers even with the reduced pay mechanics dont want to be bothered with the OT, eventually we will see more and more of that in larger stations as well. older workers wont be swayed to stay and fix broken planes, they would prefer to go home and let them sit. You may see more and more flights being cancelled because there arent enough mechanics willing to put the hours in to repair them anymore. The problem with your theory is that we posess specialized licenses and the licence which may only take two years to get is really only a license to learn. Its takes quite a few more years to become proficient. With the average age being 55 you would need to see massive enrollment increases now in order to meet the needs that start peaking within five years. AA will be the bottom choice, we already see 20 year guys quitting AA, what chance will AA have in attracting or keeping talent with bottom of the industry wages, vacation, Holidays, sick time etc? If 20 year guys are leaving why would new hires consider staying? They cant even fill the vacancies they have now, they have increased the starting pay, in some cases right up to max rate (in T-II) but they stubbornly refuse to bring T-I starting pay up to the top rate. Once UAL settles their contract they may not have any choice. The best thing we could do now is refuse to work more than 40 and let them choke on their concessions.

I think every single one of the guys that hired in with me Sept 2011, left(myself incl) or were laid off. And seriously doubt they'll come back to American. I know I won't(only way I'd entertain that is if AMFA is voted in & AA got there attitudes right on AMT wages).
The wage structure that American has in place for the AMTs is absolutely horrible. I have no idea how they're getting people to come to work in JFK, ORD, LAX etc. I was having a helluva time in TULE on $20/hr. Quickly found out after acquainting myself with the industry leading concessions deal, that after 3 yrs, I'd be at all of $23/chg. WOW----thanks a lot TWU! Awesome....
What a pathetic joke.

 

[Bob Owens]

I think every single one of the guys that hired in with me Sept 2011, left(myself incl) or were laid off. And seriously doubt they'll come back to American. I know I won't(only way I'd entertain that is if AMFA is voted in & AA got there attitudes right on AMT wages).
The wage structure that American has in place for the AMTs is absolutely horrible. I have no idea how they're getting people to come to work in JFK, ORD, LAX etc. I was having a helluva time in TULE on $20/hr. Quickly found out after acquainting myself with the industry leading concessions deal, that after 3 yrs, I'd be at all of $23/chg. WOW----thanks a lot TWU! Awesome....
What a pathetic joke.

They have 60 vacancies, they offered the job to 30 applicants, they don't expect that all of them will be able to get Port IDs. They are holding guys who put in for the EO and SIS. What some are doing is CS'ing away their days

 

[Bob Owens]

Been there twice. Few people with mechanical skills in China need to learn English, those that are learning English are looking for jobs that carry more status. China's aviation is growing faster than ours.