UK: Primark pledges further $10m to Rana Plaza victims
Primark is pledging $12m to the victims of Rana Plaza
Nearly one year on from the Rana Plaza factory collapse in Bangladesh, UK value fashion retailer Primark has pledged a further US$10m to victims of the disaster.
The company today (17 March) said it will make long-term payments totalling $9m to the 580 workers or their dependents of its supplier New Wave Bottoms, which occupied the second floor of the eight storey building, who died or were injured.
Payments, which are due to begin this week, will be made in full within 12 months.
An additional $1m will be paid to non-Primark supply chain workers. This will be paid to the Rana Plaza Donors Trust Fund (Trust Fund) chaired by the International Labour Organisation (ILO) for distribution.
Payments will be made according to the impact of the injury and level of disability resulting from the collapse, and in the case of the dependents of the deceased and missing workers, according to actuarial estimates of lost earnings.
In total, Primark is paying $12m to the victims of Rana Plaza. The company, which says it was the first brand to acknowledge its suppliers were housed in the complex, has already distributed $2m to these workers or their families.
In a statement sent to just-style, a spokesperson for Primark said: "Within a week of the collapse, Primark committed to paying long-term compensation to the workers of Primark supplier, New Wave Bottoms, as quickly as possible. Since then, we have been working to enable the payments to be made.
"With the first anniversary of Rana Plaza fast approaching, we are determined to meet this responsibility to workers in our supply chain. We are therefore pleased to be in a position to now press ahead with payments."
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