Robin Hayes, former CEO of JetBlue, received around $10.8 million in total compensation in 2023, his highest pay in the past two years. This included a $3 million bonus, the largest he had received during his time at JetBlue, and around $5.4 million in stock awards. Hayes had announced his departure from the CEO role in January due to health reasons, with Joanna Geraghty taking over as the first female leader of a major U.S. airline. Geraghty’s contract includes a base salary of $700,000, an annual bonus of 175% above her pay target, and restricted stock units valued at $2 million that will vest in 2026.
During his tenure, Hayes aimed to grow JetBlue beyond being a small, low-cost carrier to compete with larger airlines like American, Delta, United, and Southwest. He pushed for initiatives such as the Northeast Alliance and a merger with Spirit Airlines, but both were rejected in court. JetBlue also unsuccessfully bid for Virgin America in 2016. Despite some setbacks, JetBlue under Hayes introduced popular business class seating known as Mint class and expanded routes to Europe. However, the airline faced challenges post-pandemic including rising operational costs and issues with Pratt & Whitney engines grounding several aircraft.
Geraghty’s strategy for JetBlue contrasts with that of Hayes. She has focused on restoring the airline’s profitability by cutting underperforming routes and returning to business fundamentals. Since taking on the CEO role, Geraghty has made significant changes to improve JetBlue’s financial outlook. Hayes, who had previously worked for British Airways, first joined JetBlue in 2008 as the chief commercial officer before becoming CEO in 2015. His compensation in 2023 was higher than in the previous two years, with the $3 million bonus being part of an executive retention award introduced during the pandemic to encourage executives to stay with the company.
Despite facing challenges in reaching profitability, Hayes’ tenure at JetBlue had its successes. The introduction of Mint class and expansion of routes to Europe were well received, demonstrating Hayes’ vision to differentiate JetBlue in the competitive airline industry. Hayes also pursued growth opportunities through initiatives like the Northeast Alliance and attempted mergers with other airlines. However, these efforts were not always successful, with court rejections and lost bids impacting JetBlue’s expansion plans. Geraghty’s leadership since taking over as CEO has focused on a more conservative approach, prioritizing profitability and streamlining the airline’s operations.
Overall, Hayes’ time at JetBlue was marked by both successes and challenges as he worked to position the airline as a major player in the industry. His compensation in 2023 reflected his efforts during a tumultuous period for the airline, as JetBlue navigated the impacts of the pandemic and sought to recover from financial setbacks. Geraghty’s leadership style and focus on profitability suggest a shift in priorities for JetBlue, as the airline aims to improve its financial performance and compete effectively in the market. Time will tell how Geraghty’s strategies will impact JetBlue’s future success and whether the airline can overcome its previous obstacles under new leadership.
