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."
After a highly proactive start to 2013 with four new outlet openings, Primark spent the second half of 2013 consolidating on its strong position in apparel and footwear specialist retailers. The compa...
Primark in the UK remains its most important market, accounting for over 70% of the company’s overall sales. Primark has established itself as one of the fastest-growing value retailers, offering a wi...
Some 190 companies have now signed the Accord on Fire and Building Safety in Bangladesh following the collapse of the Rana Plaza factory building in Dhaka, which killed more than 1,100 people last yea...
Apparel and footwear specialist retailers in the UK recorded sluggish growth in sales in 2013 as the trading environment in non-grocery retailing across much of the UK remained challenging. As well as...
The launch of Victoria’s Secret in London’s Westfield and New Bond Street locations positively impacted underwear, nightwear and swimwear. Considering recessionary cuts on spending, underwear and nigh...
- 2014: Year in review - Sourcing winners and losers
- COMMENT: The decline of the buying office
- 2014: Year in review - Brand winners and losers
- 2014: Year in review - Retail winners and losers
- Bangladesh: Raising the bar on apparel exports?
- Report urges overhaul of Cambodia factory safety
- Bangladesh knitting worker killed by faulty lift
- Bangladesh factory improvements “will take years”
- North Face debuts locally-grown "backyard" hoodie
- Apparel manufacturing leads US reshoring trend