Sad but true move for Virgin’s Paul Scurrah

A ‘heavy-hearted’ Paul Scurrah will hand over to former Jetstar chief executive Jayne Hrdlicka in November.

Virgin Australia CEO Paul Scurrah. Picture: Lyndon Mechielsen

Virgin Australia chief executive Paul Scurrah has told staff he is leaving the airline “with a heavy heart”, handing over to former Jetstar chief executive Jayne Hrdlicka in November.

In an email to staff send on Thursday, after the announcement that he would leave the airline later the year after the completion of its sale to private equity fund Bain Capital, Mr Scurrah acknowledged that his departure was unexpected by thousands of Virgin staff who had believe he would stay on in the role.

(L-R) Damon Kitney and Jayne Hrdlicka. Picture: Hollie Adams/The Australian

“I know this may come as a surprise to some of you, however with the sales to Bain almost complete and after some long discussions with my family, the time seems right,” he said.

“When I accepted the CEO role 18 months ago, I directed all my energies to make Virgin Australia a stronger and more resilient airline.

“Because of all our hard work, and with the backing of Bain Capital, the recovery plan is in place, the rebuilding is underway and the airline has a bright future.”

Mr Scurrah’s surprise departure comes amid reports of a difference in strategy between him and Bain with Scurrah reportedly looking for Virgin to be a more upmarket product than Bain’s plan view.

In his email to staff, Mr Scurrah rejected suggestions that Virgin would be reposition as a low cost carrier under Hrdlicka, saying it would be a “hybrid” airline servicing both corporates and economy travellers.

“I have reaffirmed with Bain that Virgin will not be repositioned as a low cost carrier.

“Virgin Australia will be a ‘hybrid’ airline, offering great value to customers by delivering a distinctive Virgin experience at competitive prices,” he said.

“This will appeal to the full spectrum of travellers, from premium corporate to more budget focussed customers.”

Mr Scurrah said Hrdlicka had “strong aviation credentials” and was “very focussed on seeing the business succeed.”

“I wish Virgin Australia well under her guidance,” he said.

He said Bain was “not out of the woods yet” but he said that “once the dust settles I have full faith that Virgin Australia will be a force to be reckoned with.”