1. 2009 HUMAN RESOURCE STUDY OF THE COMMERCIAL PILOT IN CANADA R.A. Malatest & Associates Ltd. Preliminary Results: Data Subject to Change ATAC Flight Training Presentation November, 2009

2. Project Partners CAMC, in partnership with ATAC and with funding from the Government of Canada, has commissioned this study This project is overseen by a multi-stakeholder committee comprised of representatives from HAC, aviation operators, government departments, labour associations, and training organizations This presentation is a “sneak peak” of the preliminary findings – data is subject to change, and is not meant for distribution 2

3. Presentation Overview  Background/ Purpose of the Study  Research Methodology  Context for the Study  Preliminary Key Findings 3

4. Background 4

5. Purpose and Objectives The Human Resources Study of the Commercial Pilot in Canada 2009 addressed the following four requirements:  The development of a comprehensive overview of the industry today, in particular, as it relates to commercial pilots and the air operator sector  An assessment of the supply/demand picture for commercial pilots today as well as a projected look at the picture in the years ahead. The analysis will include an assessment of society’s perception of aviation as a career  An assessment of the emerging skills, knowledge and attitudes, (i.e., the “KSAs”), that will be key if Canada is to maintain a viable, safe and competitive aviation industry.  An updated assessment of the ability and capacity of Canada’s flight training community to respond to the skills and training needs of the industry now and in the future. 5

6. Background Methodology  Survey of fixed wing and helicopter operators and flight training units. *One to three pilots in the organization – full survey was not requested of these organizations 6

7. Context for the 2009 study of commercial pilots in Canada 7 This project is a Human Resource Study of the Commercial Pilot in Canada. It is intended to:  focus on the occupation of commercial pilot as it currently exists and as it will exist in the future  provide a comprehensive understanding and update of the domestic and global forces impacting Canada’s air aviation industry

8. Results by Key Theme  Attracting Youth to the Career  Knowledge, Skills, and Attitudes  Flight Training Programs – trends and challenges, changes and innovation  National Occupational Standards 8

9. Attracting Youth to the Career 9

10. Reasons for Pursuing Pilot Training  The most common reasons cited by FTUs that students choose to become a pilot is the challenge/love of flying, followed by prestige and the opportunity to travel  Pilots also noted that the most important factor that determines whether or not a pilot will actually pursue a professional career flying is whether they truly love to fly. “There's only one reason to be a pilot, and that is if you absolutely love to fly. If you truly love to fly, being a pilot is the best job in the world.” 10

11.  Salary and employment opportunities were the least commonly cited reasons for becoming a pilot Attracting Youth to the Career 11 Source: Flight Training Unit Survey (question E2) “Based on your experience interacting with students, what attracts students to a career as a pilot? Select all that apply” n=51 Fixed Wing, n=13 rotorcraft

12. Reasons for Not Completing Flight Training  Students are troubled by the financial investment required, without guarantee of job security. Limited access to funding for education is a serious limitation for many  Comments from would-be pilots suggest that they commonly experience some degree of disappointment either in their training (cost or quality), in the job opportunities after graduation, and compensation Source: Flight Training Unit Survey (question E1) “Based on your experience interacting with recent students, please indicate the top three reasons that student do not complete their pilot training. Indicate the top reason with a 1, the second with a 2, and the third with a 3”, n=49 Fixed Wing, n=11 Rotorcraft Note: percentages are based on number of respondents who cited the reason in the top three Attracting Youth to the Career 12

13.  One way to improve the odds of landing that critical first job as a pilot is for flight training units to provide assistance to students in this area  The least common resource provided by the FTUs was a job placement service for graduates’ first job  Most FTUs provide students with information related to career paths and job placements, but only 26% of fixed wing and 38% of rotorcraft FTUs incorporate career preparation in their curriculum Source: Flight Training Unit Survey (question E3) “What types of informational resources are available at your training organization to prospective commercial pilots candidates? Select all that apply” n=51 Fixed Wing, n=13 Rotorcraft Attracting Youth to the Career 13

14. Knowledge, Skills and Attitudes 14

15. Technical Skills Sought by Operators Source: Operator Survey (question D1) “What KSAs do you look for when you hire pilots?” n=109 fixed wing, n=30 rotorcraft 15  Navigation, meteorology, GPS, and de-icing/surface contamination are the most commonly sought skills by operators among new pilots

16. Technical Skills Deficient in Applicants 16 Source: Operator Survey (question D1) “Are there any KSAs that are deficient in resumes or new recruits?” n=118 Fixed Wing, n=31 Rotorcraft. Note: percentages are based on respondents who cited the technical skill as required; they are not based on all respondents.  Among those who noted the skill as required, the highest proportion of operators reported applicants deficient in glass cockpit familiarization, FMS, TEM, and safety management systems

17. Non-Technical Skills  Over 75% of fixed wing and rotorcraft operators cited communication, pilot decision making, teamwork, and situational awareness as required non-technical skills  More than 70% also cited English language proficiency and organizational skills  Of these, the highest proportion of operators reported that applicants are deficient in situational awareness and decision making Source: Operator Survey (question D1) “Are there any KSAs that you find are deficient in resumes or new recruits?” n=109 fixed wing, n=30 rotorcraft 17

18. Flight Training Programs: Trends and Challenges, Changes and Innovation 18

19. Incidence of Formal Flight Training Curricula  Relatively few FTUs have formal training curricula in the top skills sought by operators  Although 65% of fixed wing and 77% of rotorcraft operators cited navigation as a required skill, only 24% of FTUs have a formal curriculum to teach it Source: Flight Training Unit Survey (question D3a) “Does your organization have a formal train the trainer curriculum to assist flight instructors to teach pilots in the following areas?” n=51 Fixed Wing 19 Flight Training Programs - Trends

20.  While less than 33% of FTUs have formal training curricula for the top 5 skills sought by operators, 66% of FTUs report incorporating more than Transport Canada’s requirements in their curricula  The two most commonly offered elements were additional adult learning (67% fixed wing and 50% rotorcraft), and training specific to teaching lesson plans and exercises in the simulator (56% and 75% respectively)  However, FTUs experience considerable barriers to developing formal curricula 20 Flight Training Programs - Trends

21. Barriers to Developing Curricula  The most common barrier cited in the survey was lack of resource materials, with 43% of respondents citing this  Lack of funds and lack of qualified instructors followed at 34% and 26%. Source: Flight Training Unit Survey (question D3a/b) “Please specify what barriers you face to using a formal curriculum” n=51 Fixed Wing, n=5 Rotorcraft. 21 Flight Training Programs - Challenges

22. Need for National Training Standards  Almost 85% of fixed wing operators and 83% of rotorcraft operators agreed or strongly agreed that FTUs should adopt a national training standard, and most said they would be interested in participating the development of a national curriculum  The largest portion (37% of fixed wing and 50% of rotorcraft) felt that development of the standards should be led by a joint committee (industry, training organizations, and the regulator - CAMC) 22 Flight Training Programs - Changes

23. SMS: Training and Impact Training for SMS  Overall, 48% of FTUs either currently or plan to teach SMS design and implementation  Only 20% of fixed wing FTUs have a formal curricula in SMS or SOS Impact of SMS on Pilots’ Daily Work Environment  Improved safety, reporting, communication, and awareness were the most common positive impacts cited  More work was the most common negative impact cited  Almost 40% of both fixed wing and rotorcraft operators feel that there has been little impact to date, mostly because it’s too early to measure 23 Flight Training Programs - Changes

24. Importance and Need for SMS 24 Flight Training Programs - Changes  SMS will become an international requirement, and Canada has led the way in implementing these systems  Increasing number of liability and insurance requirements facing companies “Crews are provided a structured and defined reporting and response system. Issues have been identified and resolved through the SMS” - Comment from operator survey

25. Synthetic Devices as a Tool in Training  Minimal number of hours can be gained in a synthetic device for credit toward license (10 for CPL)  Of those with an opinion, 59% of fixed wing and 50% of rotorcraft operators felt synthetic training devices were a positive substitute for flying hours  Alternate means of compliance for ATOs is a possibility, but there remains a challenge for non-ATO schools Innovation in Training 25

26. Access to and Use of Synthetic Training Devices  The majority of FTUs (76% of fixed wing and 77% of rotorcraft) have access to a synthetic training device  Most use these devices for IFR training only  Fixed wing FTUs are more likely than rotorcraft to use FTDs/ simulators in training Source: FTU Survey (Question F3): “How does your organization use simulators or FTDs for training?”, n=51 Fixed Wing, n=13 Rotorcraft Innovation in Training 26

27. National Occupational Standards 27

28.  69% of all operators who had an opinion about NOS believe it is important  The most commonly cited reason was to help define and maintain employee skill sets (88%)  Occupational standards have to address the nine essential skills – reading/writing/numeracy/communication/working with others, etc.  A list of needed occupational standards has been developed Source: Operator Survey (question D6) “Is the development of clearly defined National Occupational Standards for professional pilots important for the aviation/helicopter industry? If yes, how might employers benefit from such standards” n=98 fixed wing (n=34 for responses to benefits), n=29 (n=15 with responses to benefits). N ote: the percentages of the reasons are based only on those who said that standards are important. National Occupational Standards 28

29. Thank You 29