Latest news with #JozsefVaradi
Telegraph
an hour ago
- Business
- Telegraph
Wizz Air quit Gulf after Abu Dhabi went back on deal, boss says
Wizz Air's decision to quit the Middle East was triggered by a row with its Abu Dhabi government partner over alleged favouritism shown to the Gulf state's airline, its chief executive has said. The budget airline last week suspended all flights from its Abu Dhabi hub, blaming the 'hot and harsh' climate, as high temperatures and sand particles degraded its engines. But Jozsef Varadi, chief executive of Wizz Air, told The Telegraph that the move was also driven by curbs imposed on its local division by the Abu Dhabi authorities. These included a refusal to let Wizz Air Abu Dhabi – a joint venture between Abu Dhabi and the airline – fly to India and Pakistan as previously agreed, despite the two countries having granted it access rights. Mr Varadi said the move was probably designed bolster Abu Dhabi's airline, Etihad, which is owned by the Gulf state. 'Six years ago, Abu Dhabi was booming and the whole system was supportive of bringing in an ultra-low-cost carrier,' he said. 'Everyone was contributing, without any discrimination between the home airlines. But that changed and it became a case of Etihad first, with everyone else subordinated. 'That is not what we agreed when we made a commitment to invest in Abu Dhabi and it's not a game we're prepared to play. We said at the beginning that we would not be coming to be a second-class citizen.' Wizz last week said it was abandoning the joint venture, which was established with the Abu Dhabi's sovereign wealth fund ADQ in 2019. Mr Varadi said the launch of flights to the Indian subcontinent had always been the venture's ultimate goal, with the region accounting for 60pc of the travel market from Abu Dhabi. He said: 'We all had an understanding that we would be accessing markets like India and Pakistan. It was specifically mentioned in our investment memorandum. 'We got designated by Abu Dhabi and we started working with India and Pakistan and both of them approved our designation. 'But at that point Abu Dhabi changed its mind and they decided to remove our designation and hand that over to Etihad. So we were excluded from more than half of the market. That is not acceptable and not how we do business.' Mr Varadi said the change in attitude coincided with the deepening of government efforts to focus Etihad more on local travel needs, rather than have it compete in global markets with Emirates and Qatar Airways. Etihad slashed its aircraft order book and cut long-haul routes as a result of the rethink, and in October 2022 came under the ownership of ADQ, which also held a 51pc stake in Wizz Air Abu Dhabi, to Wizz's 49pc. 'People don't like flying over war zones' The chief executive said the escalating conflict in the Gulf has also influenced the decision to quit the region, with a quarter of Wizz flights forced to divert in the past 12 months, increasing costs and putting off travellers. He said: 'Demand is a lot weaker than before. People don't like flying over rockets and war zones, and this has become a regional conflict. It's no longer local.' Wear and tear issues with the Pratt & Whitney engines on Wizz's jets, which grounded 20pc of the fleet, were a further factor, being more acute in the 'hot and harsh' environment of Abu Dhabi and nearby destinations such as Saudi Arabia. He said: 'The engines were degrading three times faster, so it became incredibly punitive from an engine lifetime and cost perspective.' Mr Varadi said Wizz, which is due to provide an earnings update on Thursday, will delay orders from Airbus as it falls back on core European markets, where it competes with Ryanair and EasyJet. While based in Budapest Wizz is listed in London and has major bases at Gatwick and Luton.
Khaleej Times
3 days ago
- Business
- Khaleej Times
'Don't want to leave UAE': Wizz Air employees struggle with sudden exit, look for jobs
As ultra-low-cost airline Wizz Air prepares to shut down its Abu Dhabi operations from September, 2025, some of its employees are facing an uncertain future. The sudden announcement has left them worried and confused, with many seeking clarity from management about their options. Wizz Air has hundreds of employees connected to its UAE operations, according to a staff member who spoke to Khaleej Time s. This includes pilots, cabin crew, managers, and other staff. "We are uncertain of the situation," said the employee, who did not wish to be named. 'No staff working directly at the Abu Dhabi airport will be affected by the closure, but beyond that, we don't know what will happen. The decision was sudden and is being handled at a high-level board meeting. Flights have been full for a long time, so this news came as a surprise to all of us." In 2024, Wizz Air Abu Dhabi reported more than a 20 per cent year-on-year growth in seat capacity and the number of passengers carried. Earlier this week, the carrier announced that it is suspending its Abu Dhabi operation and will exit the joint venture, citing geopolitical situation, regulatory challenges and stiff competition. Bloomberg reported Wednesday that Wizz Air CEO Jozsef Varadi held a call with employees and offered them the opportunity to take another job across the budget carrier's European network. The employee Khaleej Times spoke to confirmed that some staff members have been informed of potential opportunities to transfer to the airline's other bases in Europe. 'Some have been offered positions in places like Malta, Hungary, or the UK. But not everyone will be able to take these offers.' For those who prefer to stay in the UAE, the options are less clear. 'Many employees are now looking for jobs with other airlines operating here or in neighbouring countries,' the employee added. 'But with the job market as competitive as it is, there's no guarantee everyone will find something.' Another Wizz Air staff member shared the personal impact of the news. 'We don't want to leave the UAE. We have made this country our home, and it's the best place to live and work for us. Some of us have already started applying for positions with other UAE airlines, hoping to continue our careers here,' she said. She described how difficult it has been waiting for more details. 'The management hasn't given us a clear plan yet. We receive bits and pieces of information from various sources, but it's challenging to determine what to believe. The uncertainty is stressful for all of us.' Several employees expressed sadness over the sudden nature of the announcement. 'There was no prior notice or warning,' said the first employee. 'One day we were operating flights as usual, and the next, we heard that the Abu Dhabi base would close. It's upsetting for us, our families, and the many service providers who work with Wizz Air here.' Wizz Air was one of the low-cost carriers to operate out of Abu Dhabi and helped make international travel affordable for thousands of residents. 'It's sad to see Wizz Air leave because they gave many people the chance to travel to Europe and beyond at reasonable prices,' said the employee. 'We know how much our passengers relied on us, and we feel the loss too.' Looking ahead, the future of employees who cannot secure new roles remains unclear. 'Some may be forced to return to their home countries if they don't find work in Europe, the UAE, or nearby,' the employee said. 'That's a difficult reality many of us are preparing for, but we hope it doesn't come to that.' Many employees remain hopeful. "We are trying to stay positive and keep looking for opportunities,' said the staff member. "The UAE has been a great place to live and work. We want to continue being part of this community in any way we can.' For now, the employees wait anxiously for official updates from the airline's management and hope for clearer answers in the weeks ahead.
Khaleej Times
4 days ago
- Business
- Khaleej Times
UAE: Hundreds of employees in limbo after Wizz Air's Abu Dhabi flight suspension
Around 450 employees of Wizz Air are in a state of limbo after the airline announced suspension of flights from Abu Dhabi from September, Bloomberg reported on Wednesday. The news agency reported that Wizz Air CEO Jozsef Varadi held a call with the employees and offered them the opportunity to take another job across the budget carrier's European network. However, according to Bloomberg, many employees will find it difficult to migrate to Europe. Quoting the CEO, it reported that the affected employees will be awarded a bonus payment in September. Stay up to date with the latest news. Follow KT on WhatsApp Channels. A Wizz Air Abu Dhabi employee, who wished not to be named, confirmed that the airline management held a conference call with the employees on Wednesday, offering them different options. The airline's 2024 annual report didn't disclose the number of employees recruited by the ultra-low-cost carrier for its Abu Dhabi operations. However, its annual report revealed that it has a global workforce of more than 8,000 employees, combining international and local expertise hailing from over 100 different nationalities. In recent years, it said employee offers have been enhanced to provide more attractive benefits to all workers. Earlier, Wizz Air announced the suspension of flights from Abu Dhabi from September 1 and also its exit from the joint venture with the Abu Dhabi partner. The company blamed three key factors for its decision to pull out of Abu Dhabi. These include engine reliability constraints, particularly in hot and harsh environments, which have impacted aircraft availability and operational efficiency; geopolitical volatility, which has led to repeated airspace closures and operational disruptions across the region, as well as wreaking consumer demand; and regulatory barriers, which have limited the company's ability to access and scale in key markets. It said passengers with existing bookings beyond August 31, 2025, will be contacted directly via email with options for refunds or alternative travel arrangements. It reported non-current assets of 56.5 million euros at the end of 2024 as compared to 32.5 million euros in the previous year.
Bloomberg
4 days ago
- Business
- Bloomberg
Wizz Exit From Abu Dhabi Leaves Hundreds of Staff in Limbo
Wizz Air Holdings Plc 's decision to suspend its Abu Dhabi operation has put up to 450 jobs in limbo, as some employees will find it impossible to relocate to Europe. Every employee in Abu Dhabi will have the opportunity to take another job across the budget carrier's European network, Chief Executive Officer Jozsef Varadi said on a video call with staff seen by Bloomberg News. Affected employees also are due a bonus payment in September, he said at the Monday meeting after announcing the shutdown.
Gulf Business
5 days ago
- Business
- Gulf Business
Wizz Air responds to refund queries on X after Abu Dhabi exit
Low-cost carrier Wizz Air is actively addressing refund requests from affected passengers on X (formerly Twitter), following its decision to In an The move, described by Wizz Air as a response to 'geopolitical instability, repeated airspace closures, and regulatory challenges,' has impacted travelers who booked flights for dates beyond 1 September 2025. In the days following the announcement, numerous users took to X to seek clarity on cancellations and refunds. Wizz Air's social media team has been quick to respond to individual posts, repeatedly asking users to send private messages for assistance. In some cases, Wizz Air has also encouraged passengers to contact its WhatsApp support directly at +44 7830 738860, offering a more immediate line of communication. Scaling back Meanwhile, Wizz Air's CEO József Váradi confirmed to Reuters that the airline intends to 'scale back' its order of 47 Airbus A321XLR aircraft in light of the Abu Dhabi withdrawal. He also revealed that talks are underway with Airbus to convert some of that order into A321 models, which are more compatible with Wizz Air's revised operational focus. The airline reiterated that only Abu Dhabi operations are affected, and all other Wizz Air group flights will continue as scheduled. As Wizz Air pivots its strategy toward more stable and profitable markets, its handling of customer concerns, especially across social platforms, will be key to maintaining brand trust during this transition.
