The current WestJet compensation is much more based on a high percentage of share and profit share compensation than any other airline I know of at the moment, so it is relevant to look at the whole picture. RSUs are confirmed by the board as are stock options, but were written into individual contracts at a certain percentage of pay (with a Black-Scholes multiplier applied to stock options), I'm assuming that will change with the CBA. Total compensation is the measure of what is earned, not base salary, but very risk adverse people don't seem to understand that and can't look at the whole picture over a 5 or 10 year period.altiplano wrote: ↑Wed Oct 17, 2018 12:58 pmRSU's are discretion of the board, no?aerobod wrote: ↑Wed Oct 17, 2018 10:11 amAs far as I can see outside of stated information in Airline Pilot Central, the RSU, Stock Option and Proifit Share components have not been captured. Spirit does state a profit share program, but no evidence in their financials of any significant payout, they also have no evidence of special share units or options being paid to anyone other than Execs. WestJet profit share has averaged about 10% of base salary for the past 10 years (with a range of 2% to just below 20% in a given year). with RSUs and stock options at about 15%, leading to 25% additional compensation (not including the tax advantage of capital gains as opposed to income tax on the options) in an average year on top of the Airline Pilot Central info is realistic, bringing the WestJet year 12 captain total compensation to $292K at 80 hours or $301K at the maximum 82.5 hours before overtime - this is borne out by the T4 slips from the senior pilots at WestJet and the compensation costs the company pays to pilots (if you are a WestJetter, you will have to talk to Finance to get details on that, but the information is available and tracked). The $370K or more T4 that JS quotes for himself is obviously based on quite a bit of overtime.
One other factor is how block time is measured and paid for. I can't find any details related to changes in the new Spirit CBA about moving away from "Block Out Time", defined by Spirit as taxiing at 0.5 knots. This will reduces block time by about 10% on an average 2 hour segment by not paying for pushback and any wait for congestion on the ramp. Spirit also has a no block time padding philosophy so uses a BTR0 of 50%, compared with a BTR0 in the 60 to 70% range for WestJet, pushing to reach the published on time arrival time for Spirit will compress the block time a further 5% or so on a 2 hour segment when comparing BTR0=50 to BTR0=65.
Profit share and Options are contractual I understand, but again can you count on them? Profit share is ultimately a lot of discretion and conditions aren't always conducive to exercising options, I guess we'll see.
Not sure why you're adding in 30 hours to the WS figure in this comparison or splitting hairs on taxi speeds... Are you really getting into block growth to try to narrow your gap? Paid at 50 vs. 70 percentile block is better anyway... more free pay for all the more times you're early.
Additionally, if we're going to get into taxation as a benefit, like options exercised cashless and taxed as a capital gain vs. employment income, maybe you should start talking about the WS ESPP and the amount of taxes paid on that 40%... Or maybe we should bring in US taxes... Or employer (not) paid benefits... I don't think it's relevant to this discusiion.
I think you need to be comparing real money you can always expect to be paid month in, month out.
Anyway, I'll tell you one thing I know, AC widebody Captain with a son down there that upgraded quickly and is pulling in more than him month in month out... Fact is there is no comparison.
Taxi speed has nothing to do with the analysis, Spirit up until their labour agreement in Jan this year calculated crew pay based on "Block Out Time", something unique to them, not on actual block time that most airlines use. It was defined as starting when the aircraft was taxiing forward at 0.5 knots, so didn't include the block time from doors closed / off blocks to that initial taxi point in calculating crew pay. I'm not sure if that was removed in their current agreement.
On the block time, I'm not sure what you mean, as it is not a case of being paid to a certain percentile of block time, BTR0 is a measure of hitting the assigned block time, if you are working to a probability of BTR0=50%, then 50% of the time you are going to be below or at the assigned time, 50% above. If BTR0=65%, then 65% of the time you are going to be below or at the assigned time, 35% above. What that means for a given segment block time profile is that there is a distribution (likely either a Poisson or similar to a Normal distribution), of the block times, where BTR0=50 corresponds to nominally 2 hours on a 2 hour block and BTR0=65 corresponds to a longer block time, somewhere around 2 hours and 6 minutes is likely, but dependent on airport and flight characteristics, in this case the scheduled time for a flight when BTR0=50 is used will be 2:00, when BTR0=65 is used will be 2:06.
The US as with pretty well every profession at the current exchange rate will pay more, for pilots on average this pretty well matches the exchange rate differential at the moment, i.e USD $118,406 salary + USD $4,444 bonus for the US; CAD $121,421 salary + CAD $4,553 bonus for Canada, according to ERI salary survey data. If money is the only objective, then a move to the US is probably a wise career decision.