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The Seniority 'Pay Cliff': The Unexpected Hurdle in Retaining Experienced Airline Captains

Airlines are facing a significant challenge in retaining their most experienced captains, even with proposals to raise the mandatory retirement age. The core issue stems from the industry's seniority-based system, which creates a 'cliff effect' for pilots at age 65. Due to international rules, these captains can no longer serve as pilot-in-command on international flights. The only option to continue flying is often to accept a demotion to a first officer position, which comes with a substantial pay cut and loss of scheduling privileges. This unattractive proposition incentivizes senior pilots to choose full retirement over a less prestigious and lower-paying role, exacerbating the pilot shortage.

Official Source: https://simpleflying.com/unexepected-reason-airlines-struggling-retain-most-experienced-captains-right-now/