Research paper

1

Running head: CONTRACTORS IN FLIGHT DEPARTMENTS

CONTRACTORS IN FLIGHT DEPARTMENTS 5

Raul Cruz

Broward College

04/12/2021

Introduction

Flight Department across the world face several challenges. One of the biggest issues is budgeting and financing. There is a thin relationship between owners, parent companies, employees, and customers. As the issue of financing is challenging, it is attributed to the decision of whether or not to high contractors. The cost of hiring contractors is very high. There is a lot of time and effort required in ensuring alignment between the contractors and the airline’s operations such as booking. Most of the contractors do not work to promote the growth of the airline, but they work to offer their skills and experience to get paid. Contractors in flight departments are their own bosses controlling their own schedules, thus leading to inefficiencies and ineffectiveness. Therefore, hiring contractors has several challenges which lower the productivity of the flight departments.

One of the core challenges facing flight departments over hiring contractors is lack of enough control. Contractors are not classified as employees or partners to these departments. Therefore, the contractors are their own bosses. Ideally, contractors are hired to accomplish a specific task. Therefore, their deliverable is only geared towards the agreed deliverable. Contractors do not work under flight department’s employee rules and regulations. This independence is seen in the manner they plan, run, and manage their schedules. Normally, the contractor’s schedules are independent of the airline’s internal environment. The flight departments cannot use contractors to change flight schedules in ways that favor the airline. This will be in breach of existing agreements. Contractors, work on permanent schedules that are agreed upon by both parties (NBAA, 2019). Therefore, it is difficult for flight departments to convince contractors about the changes in air travel. When contractors make such changes to favor airlines, there is high likelihood that the airlines will face more expenses.

Contractors are expensive as compared to other options. Contractors negotiate prices which favor their mission and vision. In most cases, the flight departments and contractors have different mission and vision. Therefore, each party works to fulfill its objectives. Due to the differences, contractors negotiate high prices. Contractors understand that flight departments hire them due to limitations. Therefore, they use their advantage position to negotiate higher prices. Unlike employees working in flight departments, contractors have no access to employee benefits such as retirement packages, insurance, and increased salaries (NBAA, 2019). Therefore, the lack of employee benefits is supplemented by high prices. In most cases, the contractors are paid in terms of hourly or daily rates. When calculated in monthly or annually terms, contractors use more than normal employees. Therefore, flight departments face challenges in financing private contractors due to their high rates.

Further, contractors work towards increasing their own profits and benefits. While signing contracts, flight departments understand that contactors are not part of the airlines. The contractors are only given certain roles in exchange for profits. Therefore, the contractor’s major focus is geared towards increasing their profit margins. In such cases, the contractor’s actions and decisions are not influenced by the airline’s prosperity. Contractors come up with solutions that are supposed to improve their financial position. Further, contractors are hired by flight departments to perform specific roles on a short-term basis (NBAA, 2019). Therefore, they align their goals to achieve short term objectives without focusing on the airlines long-term goals. Contractors help the airline in the short-term period but do not offer an opportunity for long-term growth.

Conclusion

Contractors work for flight departments because they require extra manpower. There are many reasons why flight departments would hire contractors. However, contactors are their own bosses in the departments therefore they control their own activities and schedules. They can take holidays when they wish, including other activities that may not favor the operations of the airline. Many contractors are paid in a daily rate which makes it difficult for the airline to track its costs. Further, contractors are not after working their way up the ladder to get promoted, rather they are after utilizing their skills to get paid. All these may cause a lack of efficiency and effectiveness in the flight departments.

References NBAA. (2019, October 22). Challenges Unique to Small Flight Departments Highlighted at Second Annual Symposium. Retrieved April 8, 2021, from NBAA: https://nbaa.org/events/2019-business-aviation-convention-exhibition/news/latest-news/challenges-unique-small-flight-departments-tackled-small-operator-symposium/