The scheme where pilots are paid more purely from working at the same airline longer seems like a big part of the problem here. Not the only part, but a big par

The scheme where pilots are paid more purely from working at the same airline longer seems like a big part of the problem here. Not the only part, but a big part. Relevant: http://philip.greenspun.com/flying/unions-and-airlines http://philip.greenspun.com/flying/unions-and-airlines Based on what I understand of economics, I have to think that pilot unions are part of the cause of the problem here. By locking pilot compensation to number of years' service at the firm, firms are unable to compete with each other for pilot talent, and incentives are screwed up (like you quoted above). Pilots are also unable to compete with each other on compensation by changing firms. I do not mean this as any kind of defense of ABX (I know little about this situation beyond what I've read in this thread), and I agree they are morally bound to meet their contractual obligations to their pilots, but at the same time perhaps they'd be able to hire more pilots in a sane way if the airline industry pilot salaries weren't all locked up by this arbitrary and stupid (from my position) years-at-firm requirement.