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SEA requires up to 9,000 pilots in three years' time

KUALA LUMPUR: Malaysia Airlines Bhd (MAB) said overcapacity has led to a worldwide pilot shortage, further exacerbating the situation and hampering the carrier’s growth.

Group chief executive officer Captain Izham Ismail said the national airline was currently being impacted by the worldwide shortage of pilots, which has led to operational constraints and seen an impact on growth.

“Pilot constraints are of particular concern for the airline’s narrowbody B737-800 fleet where the shortage is at its most acute,” he said.

MAB added its stringent criteria for qualifying captains, which is higher at 4,500 flying hours compared to the industry average of 3,500 flying hours, is further impacting constraints.

“Proactive steps are being taken to address this issue as quickly as possible which includes merging and upgrading flights to be operated by our widebody aircraft to help cover gaps caused by the shortage of our B737 pilots,” he said.

MAB said the airline has put in place an extensive pilot training programme, implemented in August 2017, alongside recruitment drives.

“Pilot training does however, take time but our new cadet pilots are gradually coming online,” it said.

Farnborough-based AeroProfessional Ltd aviation market intelligence specialist Filippo Gallo said Malaysia is likely to be the second largest aviation market in Southeast Asia region after Indonesia, banking on over 500 aircraft orders by airliners between 2018 and 2028.

“Malaysia is very promising if airlines and the government work together in creating synergy. The potential of exploiting economic opportunities would be above the average for the entire Southeast Asia,” he told NST Business recently.

He added that it was important for Malaysia to be highly competitive, citing that the Southeast Asia (SEA) region will require between 6,000 and 9,000 pilots in three years’ time.

“Airlines should notice that pilots currently employed by SEA-based airlines might consider looking for opportunities elsewhere while others will reach the retirement age limit”.

“Globally speaking, United States and Europe are the most mature markets in aviation, while SEA is still an emerging region with a very promising outlook. Definitely, there is room for grow.”

He said the rapid growth of the Middle Eastern carriers and subsequent boom of the Chinese aviation sector have drained the availability of local skilled personnel in SE Asia.

“This has forced most of the airlines to offer exceptional money and benefits to attract new employees,” he said.

Gallo pointed out that it is crucial for airlines to further strategise core business segments such as corporate strategy, network planning, fleet management, procurement and human resource.

“About 60 million passengers flew in and out of Malaysia in 2017. If they (airlines) don’t have enough pilots, they could potentially incur in several million of annual losses as result of hundreds of aircraft being grounded, with subsequent drop in passenger numbers.”

“Airlines need to invest more on local pilots because it is cheaper than getting foreign pilots” he said, adding that completing commercial pilot training is indeed a long and costly process.

He said currently there was a high demand for experienced pilots globally and airlines usually offer higher salaries to attract these people.

He said Asean-based carriers are expected to recruit between 1,500 and 2,000 pilots annually to cope with the individual airline projected aircraft deliveries.

The forecast could increase further up to 30 per cent, considering the standard staff turnover cycles, according to AeroProfessional's Asean Market Analysis and Pilots Outlook 2018-2028.

“The role of aviation recruitment agencies will play a key role moving forward since the respective airline human resource capabilities are very limited at present, despite some leading carriers have partially addressed the problem by establishing their own training facilities,” he said.

The pilot labour supply has continued to tighten globally as the regional markets that have relied heavily on recruiting pilots from outside their home locations are increasingly seeking to recruit, train, and develop locally sourced pilots.

Based on Boeing’s Pilot Outlook: 2018 – 2037, cadet programmes for first officer have increased in popularity as airlines look to provide career pathway programs and fill future pilot pipelines.

“An advantage of today's data-rich environment is the ability to assess knowledge gaps as they occur. This enables training adjustments that produce more competent and qualified pilots,” it said.

The American airspace company said the Asia Pacific region will lead the worldwide growth in demand for pilots, with a requirement for 261,000 new pilots over the next 20 years.

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