Pilots paid according to market price: Garuda
Irawaty Wardany, The Jakarta Post, Jakarta | Tue, 07/12/2011 6:14 PM
Garuda Indonesia has denied giving preferential treatment to foreign pilots as claimed by local pilots, who believe they earn less than their foreign counterparts.
Garuda’s vice president for corporate communication, Pudjobroto, said Tuesday that its pilots’ salaries were based on regional market prices.
“We have researched other companies like Qantas, Malaysian Airlines, Singapore Airlines and Thai Airways to set the benchmark [for their salaries],” said Pudjobroto.
Pilots under the Garuda Pilots Association have threatened to strike if the company fails to solve the discrepancy between the salaries of local and foreign pilots.
The pilots argue that the imbalance was because the value mentioned in the contracts of foreign pilots followed international standards while those for local pilots were not adjusted to these standards.
“In any profession and industry, terms and conditions between permanent and contract employees are different. Some Garuda pilots, who used to work for foreign airways, also get higher salaries than other local pilots, because they work on a contract basis usually over a short term,” Pudjobroto said.
Besides monthly salaries, he continued, the national airline company also pays its permanent employees' insurance, longevity fee and pensions.