Salary

It is largely assumed that pilots are well paid and some are. Generally, only after several years experience and a several promotions will you finally enjoy a good income with associated benefits. That said, contracts are changing and the big salaries associated with being a pilot are fast disappearing. Certainly the benefits packages on the whole are being considerably stripped down, with expensive items such as final salary pensions, permanent health insurance and private healthcare becoming rare.

On starting out in the current climate, please do not expect to earn a lot of money. There are some contracts out there for low-hours pilots which may barely pay you enough to live on, let alone cover the cost of your training. Equally, be aware that there are a number of carriers offering relatively low remuneration for your services.

If the airline requires you to pay for a type rating which appears to be an increasing trend, or bonds you for a period of years, you will earn a reduced monthly salary until the debt has been paid or the time period is up.

Even though things seems to be moving towards contract pilots being paid for flying hours only, most airlines will pay a monthly salary.

There are complex formulae by which a pilot will receive the advertised salary, and this depends on the airline. Different payments are totalled to produce a final payment at the end of the working month.

The individual payments may consist of:

Duty Pay

This can be an hourly rate paid per duty hour.

Flight Pay

An hourly rate that is paid from the moment the aircraft moves under its own power to the moment you stop on stand.

Sector Pay

A fixed amount paid per sector, sometimes dependent upon sector length. (A sector is defined as take-off to landing. Multiple sectors may be completed in a day, depending on length.)

Allowances

These vary according to the company, but in essence can be a fixed payment per day, dependent on destination and duration of stopover, or an hourly rate if you were to operate away from base – a Luton pilot sent to operate out of Manchester, for example. These allowances are there to cover the expenses incurred.

Most salaries are made up of a combination of the above and are added to your basic pay. The average current rate of basic starting pay, without allowances, could be:

• Flying instructor – £1,100 per month and usually £15-£25 per flying hour  
• Turboprop – £17,000 – £35,000 per annum
• Small Business Jet – £17,000 – £35,000 per annum
• Short-haul A320/B737 – First Officer £35,000 – £60,000 per annum
• Long-haul A330/B787 – First Officer £55,000+ per annum

It is unlikely that most new graduate trainees would secure a long-haul position. A command position on a turboprop could be secured with around 2,500 total hours (if a significant proportion of those hours were on multi-crew turboprop aircraft).

Depending on the entry hours therefore, an individual could expect to be promoted in three to five years, leading to a salary of between £40-£50,000. However, an individual might choose to move airlines earlier to gain valuable jet experience prior to achieving turboprop command. This would lead to a longer command time, but improve overall career prospects and earnings potential. Minimum hours for medium jet command are at least 3,500, with significant proportion on multi-crew and type, and might take up to seven years from graduation with a starting salary of around £60-70,000 depending on type and airline.

Please note that the hours requirements are absolute minimums, and few individuals are promoted at this point. Command is generally based on seniority, and although you might meet the qualifications there may be few if any promotions each year, and individuals can wait 10 years or more to gain command.

Due to seniority, individuals who move airlines will increase their time to command and thus reduce their earnings potential and associated pension, as no matter how much experience is acquired, a new joiner (except in special circumstances such as when an airline needs to buy in ‘Direct Entry’ experience) will go to the bottom of a seniority list.

Benefits

If you are lucky enough to be offered a contract with a benefits package when starting out, they will vary from airline to airline depending upon the negotiated contracts for each company. The sort of benefits a pilot may find in the industry are:

Pension

Most companies have very competitive pensions that require contribution from the pilot, although most final salary schemes are being closed and replaced by money purchase schemes.

• Life insurance/Death in Service benefit
• Loss of Licence insurance
• Medical insurance
• Job security with seniority list
• Additional payments for overtime/day off payments
• Four to six weeks leave per annum
• Staff travel benefits
• Career progression
• Rostering agreements
• Profit Share or Performance Bonus schemes
• Share schemes
• Loyalty bonus
• Personal Accident insurance

Contract pilots

Some new graduates are being offered only contract work. In some circumstance, this may require an individual to set themselves up as a limited company and contract their services to a client airline, or be employed through an agency. The nature and content of these contracts vary considerably, with some offering pay only for flight hours.

This means that individuals may position around the network or undertake ground duties on an unpaid basis, which can severely compromise earnings.

Rates vary between £20-£100 per hour, and whilst earnings may be good during peak times there are no associated benefits, no sick pay, no pay when on leave and obviously no pay during quieter times. As pay is not guaranteed, individuals must plan very carefully and consider their ability to pay debts and financial commitments before entering into such an arrangement. An airline has no obligation, unless agreed, to commit to a level of work and may pick up and put down people on a random basis.