Cultural Norms vs. Market Norms

U.S. Air Force 934th Airlift Wing leaders salute Airmen as their aircraft taxis on the runway for takeoff. (U.S. Air Force Photo by Tech Sgt. Bob Sommer)

The Air Force has replaced its cultural norms with market norms. And, it cannot compete with the airlines' market power.

Eisenhower School

The Eisenhower School at National Defense University offers senior civilians, military officers, and international fellows a master's degree in National Resource Strategy. The curriculum is unique in that it affords an opportunity for students to study an industry related to national security. These studies culminate in a publicly available report.

The current industries under study are:

  • Advanced Manufacturing
  • Agribusiness
  • Aircraft
  • Biotechnology
  • Education
  • Electronics
  • Energy
  • Financial Services
  • Healthcare
  • Information Communications & Technology
  • Land Combat Systems
  • Private Sector Support & Services
  • Reconstruction
  • Robotics and Autonomous Systems
  • Shipbuilding
  • Space
  • Strategic Materials
  • Transportation
  • Weapons

Hearing on Military Pilot Shortage

Today, the HASC Military Personnel subcommittee heard testimony on the shortage of military pilots. Representative Mike Coffman (@RepMikeCoffman) noted "there needs to be an econometric reevaluation [of bonuses] on an annual basis" to adjust incentives in light of the dynamic commercial market for pilots.

The services are also examining non-pecuniary incentives to entice experienced pilots to remain in service. These include lengthening assignments, reducing adminstrative workload, and offering alternative career paths so pilots can remain in the cockpit.

One novel proposal under development would allow military pilots to take career intermissions and begin civilian aviation careers. This may allow military members to begin to accumulate seniority with an airline prior to leaving military service.

It is unclear how the new Blended Retirement System will affect pilot retention.

Admiral Moran on retaining talent

The ability to put the quality inside of our calculus and be able to tailor our compensation packages and tailor a compensation approach to retaining talent — we are going to have to do that with this new retirement program,” Chief of Naval Personnel Vice Adm. Bill Moran said. “It starts in fiscal year 2018, two years from this January. We are going to have to be ready to look at it differently.