New Look has scrapped a £12 million bonus scheme for its bosses and directors amid a slump in sales and plans to axe up to 60 stores.
The scheme was first drawn up in 2015 and the first payments were due to be made in September.
Former chief executive Anders Kristiansen, who quit last October, other directors were reportedly in line for millions.
However, the bonuses, which were linked to the value of the shares, have been vetoed after New Look’s shares were left worthless when South African parent company Brait cut the nominal value to zero.
The comes less than a week after New Look’s third quarter results highlighted continuing financial struggles for the fashion retailer.
New Look also announced last week that UK and Republic of Ireland (ROI) managing director Danny Barrasso and international managing director Sven Gaede would be stepping down from their respective roles amid wider changes.
In addition, New Look’s bond prices and credit rating took a battering over January amid reports it was considering a company voluntary agreement (CVA) to salvage and restructure its business.
The retailer is reportedly looking to reducing its physical store portfolio, with the possible closure of up to 60 UK stores.