Wizz Air says CEO is unlikely to meet targets needed to trigger £100mn bonus

Struggling Wizz Air has conceded that its CE is unlikely to deliver on performance targets needed to earn a controversial £100mn bonus after a “parade of black swans” hammered its shares. Shareholders in the London-listed low-cost airline have instead backed a new bonus scheme for József Váradi that includes a one-off share award worth around E2.3mn for this year, and the opportunity to earn around E4mn per year in shares as bonuses from 2026. Stephen Johnson, interim chair of the remuneration committee, said on Wednesday that a new plan was needed to “motivate” and “retain” Varadi, who was “by far the worst compensated CEO” among his airline peers. Wizz Air’s ambitious growth plans have been knocked by a string of crises, most notably the grounding of scores of its aircraft because of possible engine problems. Its shares have slumped 39% this year, while those of BA owner IAG have risen by almost a third. Váradi was paid a total of E1.4mn in Wizz Air’s 2024 financial year, down from E4mn in 2019. That compares with IAG CE Luis Gallego, who was paid GBP3.1mn in 2023, and easyJet’s Johan Lundgren who received GBP2.2mn. Both these companies have enjoyed a smoother ride as the industry has recovered from the pandemic. Váradi, who was one of the airline’s founders in the early 2000s, has grown it into one of the most significant players in European aviation after masterminding a growth strategy that prioritises cutting operational costs.<br/>