“In addition to the special tax, further measures are needed in aviation, a market in which ground transportation companies are especially vulnerable to the interests of multinational discount airlines,” Ferenc Galgóczy said in an interview with Magyar Nemzet. The CEO of ground transportation company BUDPORT Handling Ltd. said it is clear that discount airlines leaving Budapest intend to pay the extra profit tax through their passengers, but that this is not their only questionable action.
Galgóczy said that ground transportation companies are forced into contracts with discount airlines which ultimately hurt passengers and workers. For this reason, it would be worth looking into these companies’ approaches not only toward the extra profit tax but toward their airport service partners.
The CEO argued that discount airlines demand peak performance with fundamentally unfair procurement procedures and immoral price bargaining, while expecting service charges below costs with payment deadlines of several months. According to him, they refuse to pay ground handling services a realistic and fair price.
The windfall taxes introduced by the Hungarian government to fund the household energy price cap and defense spending have been received poorly by Ryanair. The conflicting interests of the discount airline and the Hungarian government have been made clear in recent days after the airline rejected the tax.
Featured photo illustration by Károly Árvai/MTI/kormany.hu