THE bosses of Mothercare were paid just over £560,000 in bonuses months before retailer went bust.
The collapse means its 79 UK shops are set to close, putting 2,500 jobs at risk.
The baby and children’s wear specialist, which has been on the UK high street since 1961, had been struggling for months due to poor sales.
And following weeks of speculation it collapsed into administration on Tuesday this week, appointing PricewaterhouseCoopers (PWC) to deal with the process.
Its annual report for the year to April 2019 shows that the retailer’s chairman Clive Whiley received a bonus of £240,000 during the period, taking total earnings to £696,000.
Chief executive Mark Newton-Jones got slightly less at £158,400, bumping his total pay to £660,000.
While finance boss Glyn Hughes earned £528,000 including a £162,500 bonus.
It’ll come as a blow to Mothercare’s 2,000 part-time and 500 full-time workers, who face losing their jobs.
But Mothercare said the bonuses reflect the work the three bosses completed to ensure the business didn’t go bust earlier.
A spokesperson told The Sun: “During the previous financial year, to which these payments relate, Mothercare was in a perilous financial condition, needing to secure significant financing from external stakeholders to support the business.
“Bonuses reflect the significant implementation work done during that year to restructure, refinance and reorganise the Mothercare business.”
It added that the bosses have recently bought shares in the company worth £474,500, compared to £560,900 in bonuses.
Trouble on the high street in 2019
MOTHERCARE isn’t the only retailer to have struggled in 2019.
So far this year we’ve also seen:
- Debenhams axe 22 of its 50 branches
- Forever21 close 350 stores with its UK branches also at risk
- Jamie Oliver’s “Jamie’s Italian“ chain go bust, alongside his Fifteen and Barbecoa restaurants
- Links of London go into administration putting 350 jobs at risk
- Marks and Spencer close 35 more stores as it pushes forward with plans to axe 145 shops across the UK
- Dozens of Monsoon and Accessorize stores close
- While struggling shoe shop Office has said it “could close shops” as part of restructuring plans
- Fears Pizza Express could be next to go into administration as it “brings in emergency advisers”
- Hairdressing chain Supercuts went into administration in October putting 1,200 jobs and 220 salons at risk
Twelve Thomas Cook bosses took home around £20million despite a debt pile of £1.6billion when the travel firm collapsed.
Last year, fury erupted over fatcat pay at Carillion as the huge company went bust yesterday leaving 20,000 jobs on the brink.
While last week, McDonald’s boss Steve Easterbrook was fired after breaking company rules by having a relationship with an employee.