More than two years after a deadly clothing factory fire in Pakistan, families of the victims have issued a legal notice against German retailer KiK demanding it pays compensation.

At least 254 workers were killed at the Ali Enterprises factory in Karachi in 2012, and a further 55 injured. 

And although KiK - the only known buyer of garments from the facility - signed an agreement with the Pakistan Institute of Labour Education and Research in January last year to make an initial compensation of US$1m to victims, the IndustriAll Global Union claims the company has continuously delayed the payments under various pretexts.

At a Karachi rally organised by IndustriAll affiliate the National Trade Union Federation (NTUF), and the Baldia Factory Fire Affectees Association on 14 December, speakers called on KiK to pay compensation as per International Labour Organization (ILO) standards. Participants demanded KiK pay INR500,000 (US$5,000) per family as interim relief and pay the final compensation "without delay".

Organisers also urged Pakistan's Prime Minister, Nawaz Sharif, to pay government compensation to the families of victims. Protestors said Sharif's compensation promise of INR300,000 should also be paid immediately.

NTUF deputy general secretary Nasir Mansoor said that occupational health and safety arrangements in factories are "almost non-existent".