The chief executive of British company Network Rail, Sir David Higgins, says he and his directors will not take any bonuses and will allocate the money to safety improvements at level crossings instead.
The executives have been under political pressure not to accept six-figure bonuses.
The leader of a major transport workers' union, Manuel Cortes, says the decision has come too late to save two schoolgirls who died at a level crossing because Network Rail refused to spend £2 million on a new bridge.
But he says the union welcomes the decision as the first step towards directors putting safety and passengers ahead of their own rewards.
