EasyJet’s chief executive, Johan Lundgren, will step down at the beginning of next year after seven years at the helm of the budget airline.
The carrier is promoting its chief financial officer, Kenton Jarvis, to take his place, with Lundgren set to hand over the reins on 1 January 2025. The outgoing boss will then stay with the business until mid-May as part of the airline’s “orderly succession plan”.
Lundgren has had an eventful tenure. He became CEO of easyJet at the end of 2017, after serving as second in command at the rival travel firm Tui, and has more than 30 years of experience in the travel industry. His leadership was put to the test two years into his term when pandemic lockdowns grounded plans and put airlines under severe financial strain. It resulted in staff layoffs, and later rehiring as air travel started to recover.
Stephen Hester, the chairman, said on Thursday: “We are sad that Johan will retire from easyJet. He has done an excellent job as our CEO since December 2017; steering the company through the immense challenges of the Covid period, and setting up a clear strategy and strong execution plan towards its ambition of ‘being Europe’s most loved airline, winning for customers, shareholders and our people’.
“There is good positive momentum and Johan will be with us to close out the current year, which we hope will be another one of strong progress.”
Jarvis will take over after three years as easyJet’s CFO, and will get a notable pay rise. His £542,000 annual salary will rise to £800,000, compared with the £770,000 that Lundgren received in 2023.
EasyJet said the rest of Jarvis’s pay package would be structured “in line with its existing policy” for its chief executive, putting him in line for similar payouts to those handed to Lundgren last year. EasyJet paid Lundgren a total of £2.2m in 2023, which included a £1.3m bonus, £48,000 cash in lieu of pension, and £50,000 to cover benefits such as life insurance and travel costs.
Jarvis joined easyJet from Tui, where he worked in a number of roles including chief executive of Tui’s airline division. Previously he worked at the accounting firm PwC, Airtours Holidays, and held finance roles at the sports group Adidas.
Jarvis said: “I am delighted to have been appointed the next CEO of easyJet and thank the board and my colleagues for their trust and confidence. I am a huge believer in the future for our airline, which is powered by the talents and enthusiasm of our frontline staff. I will be immensely proud to lead our teams to fulfil easyJet’s bright potential.”
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Details of the planned change at the top came as the group reported a pre-tax loss of £347m for the six months to 31 March, narrowed from losses of £415m a year ago.
Source: theguardian.com
