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"Cars and iPhones Offered"... North American Aviation Industry's Talent Battle

Travel Routes Open but Airport Staff Shortage
Airport Establishes Daycare to Secure Employees
Airlines Raise Wages and Expand Benefits

"Cars and iPhones Offered"... North American Aviation Industry's Talent Battle [Image source=Yonhap News]

"If you become an employee of our company, we will give you an iPhone and a new car."


Unify, a U.S. aviation service provider struggling with labor shortages, has offered unprecedented benefits since last year to retain employees leaving the company. They gave iPhones to 3,000 employees who met performance targets and gifted new cars to three employees.


Not only Unify but also the North American aviation industry has launched large-scale welfare improvements to welcome tourists visiting airports as air routes reopen. This is an extraordinary measure to overcome severe labor shortages caused by mass resignations after the skies were closed due to COVID-19.


"The Amazon warehouse next door pays better hourly wages"

"Cars and iPhones Offered"... North American Aviation Industry's Talent Battle Delta Air Lines of the United States
[Image source=AP Yonhap News]

On the 27th (local time), major foreign media reported that North American airlines such as Delta Air Lines and United Airlines have expanded welfare benefits to attract workers as labor shortages have made it difficult to provide services.


Low-skilled workers in the aviation industry are understood to have chosen to move to companies with large logistics warehouses like Amazon as the industry worsened due to COVID-19. According to the U.S. job search site ZipRecruiter, airport workers in the U.S. earn less than $18 per hour, which is far below Amazon’s hourly wage of $33.


The Wall Street Journal (WSJ) reported that Amazon has emerged as a benchmark for wages and benefits in the U.S. low-skilled labor market as job seekers flocked there during this period.


"We will even build daycare centers for you"
"Cars and iPhones Offered"... North American Aviation Industry's Talent Battle United Airlines in the United States
Photo by EPA Yonhap News

Airports, which must welcome travelers, are facing emergencies due to labor shortages and are seeking breakthroughs by increasing welfare benefits. The Phoenix Aviation Department, which operates Phoenix Sky Harbor International Airport in Arizona, plans to spend $1 million to build childcare facilities on airport grounds for employees. The airport has been hiring 171 full-time employees, but currently, 133 of those positions are vacant.


Kelowna International Airport in Canada is also actively constructing daycare centers for airport staff. Philip Elchits, the airport operations manager, said, "One customer service employee withdrew their resignation after the daycare center was announced."


Some airports in California, where daycare centers are already available, have pulled out the wage increase card. San Francisco Airport announced that starting in July, it will increase subsidies for workers using public transportation by 50% to $200 per month. It also plans to pilot free shuttle buses for workers living far from the airport.


Airlines are also fighting desperately to hire new talent and retain existing employees. Delta Air Lines is offering a $5,000 bonus to ramp masters who perform ground handling to prevent their resignations.


Unify, a partner company providing aviation services to Delta and United Airlines, has significantly increased costs for talent recruitment by offering benefits such as new cars and iPhones.


MacPherson, vice president of Unify, explained, "The company’s investment in talent recruitment has increased by 60% compared to before COVID-19," describing how airlines and aviation service companies are facing severe difficulties in hiring due to labor market tightness.


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