Ray Kelvin, the founder of British fashion brand Ted Baker, resigned as its chief executive on Monday following allegations of harassment.
Kelvin stepped down “in the best interests of the company”, executive chairman David Bernstein said.
Kelvin was forced to take a leave of absence last year after claims that he enforced a “hugging” culture, massaged employees, kissed their ears and asked some to sit on his lap.
Kelvin founded his first store in Glasgow in 1988. Ted Baker had 544 stores in August 2018, with 201 in Britain, 110 in Europe and 108 in North America.
Kelvin, who denies allegations of misconduct, said stepping away was the “right thing to do”.
“The past few months have been deeply distressing and I’ll now be taking time privately with my family to consider what my next adventure will be. Bye for now,” he said.
The allegations against him first surfaced in a petition against him.
Two employees, who did not wish to be identified, spoke to BBC radio.
“There was nothing inherently wrong with the actual hugs, but the un-comfortableness came from what tended to accompany them: unwanted personal comments, kisses on the cheek, neck stroking,” said a male staff member.
