Dhaka, Bangladesh (BBN) - Global brands and retailers will meet again within the next two weeks to share information and tools, exchange views, and consider next steps for creation of a compensation fund for victims of two Bangladeshi factories disasters.
The commitments were made a two-day long high-level compensation meeting, held in Geneva on September 11-12, organized by the global trade union IndustriALL and chaired by the International Labour Organization (ILO).
The International clothing makers have also committed to contribute financially to a fund to assist injured workers and victims’ families, and commit to move the process of establishing the fund forward quickly.
A coordination committee was created to take the process forward through a multi-stakeholder forum which would be open to the Bangladesh government and employers, together with the brands and retailers, unions and non-governmental organizations (NGOs), an IndustriALL statement said.
They have also committed to coordinated work going forward, building on initial assistance U.K. retailer Primark has already provided to victims.
The IndustriALL said Primark made available their local banking infrastructure in Bangladesh to deliver any funds that are made available on an emergency basis.
Eleven of the brands and retailers sourcing from the factories involved in the Tazreen and Rana Plaza disasters joined the high-level compensation meetings, according to the organizers. Around 40 global brands and retailers were invited to attend the meetings.
Regarding Rana Plaza out of a total of 29 brands that were invited the following 9 brands showed good faith by attending the meeting: Bon Marché, Camaieu, El Corte Ingles, Kik, Loblaw, Mascot, Matalan, Primark and Store Twenty One.
20 other companies, all of whom were invited, failed to show up: Adler, Auchan, Benetton, C&A, Carrefour, Cato Corp, The Children’s Place, Dressbarn, Essenza, FTA International, Gueldenpfennig, Iconix Brand, Inditex, JC Penney, Kids Fashion Group, LPP, Mango, Manifattura Corona, NKD, Premier Clothing, PWT Group, Texman and Walmart.
At the Tazreen compensation meeting on the previous day, C&A tabled its substantial compensation initiative for the victims and demonstrated its continued commitment to finding a definitive solution. Karl Rieker, which was also in attendance also signaled a readiness to contribute and was commended for positive participation in the Tazreen discussion.
Of the brands and retailers invited to the Tazreen process the following companies failed to participate in the 11 September meeting: Delta Apparel, Dickies, Disney, El Corte Inglés, Edinburgh Woolen Mill, Kik, Li & Fung, Piazza Italia, Sean John, Sears, Teddy Smith, and Walmart.
Many other major companies failed to attend, showing total contempt for the 1,900 workers who were injured and the families of over 1,200 workers who were killed making their products.
At the meetings, IndustriALL, the Clean Clothes Campaign (CCC) and the Workers Rights Consortium (WRC) presented a proposed model for compensation, which has been used by brands and retailers in previous factory disasters in Bangladesh.
The model includes payment for pain and suffering and loss of income. For Rana Plaza US$74.6 million would be needed to provide full compensation to all workers, of which the brands are being asked to contribute $33.5 million. For Tazreen $6.4 million is required, with $2.9 million being asked from the brands.
BBN/SSR/AD-13Sept13-11:06 pm (BST)
