Burlington Stores Inc. chief executive Michael O’Sullivan will not take a salary and the executive team has agreed to a 50 percent pay cut as the COVID-19 pandemic continues to affect retail closures.
The company temporarily furloughed most store and distribution center employees after providing them with two weeks of pay. Furloughed employees continue to receive 100 percent of their current health benefit premiums.
“Protecting the health and safety of our associates, customers and the communities that we serve is our top priority,” O’Sullivan said in a statement, noting that stores and distribution centers will open “when it is safe to do so.”
Burlington’s board of directors will also forfeit their cash compensation, and the finalization of annual incentive bonus payments related to fiscal 2019 performance has been delayed to a later date when Burlington “has more clarity regarding the impact of COVID-19.”
The retailer also established an employee hotline to help them gain access to government assistance programs available from the recently passed COVID-19 fiscal stimulus package.