Primark Paying Compensation to Bangladesh Factory Victims

Primark has revealed plans to increase the compensation given to the workers affected by the Rana Plaza factory disaster in Bangladesh. The news has led a Bangladesh workers’ union to hold a vigil at the site of the disaster in an attempt to force other western companies to do the same.

With 1,129 deaths resulting from the collapse of the factory on April 24th, the clothing industry has been forced to take note and change the conditions under which their third world employees work. The planned improvements to safety are heading along nicely but getting these big money firms to put their hands into their pockets is proving harder.

Primark are the only retailer who were supplied by the factory to outline a compensation payment package. This new pay-out is the third that the firm has agreed to make and it will go into the hands of 550 workers who were employed by its partner firm New Wave Bottoms. Each worker is set to receive a further 3 months’ salary.The retailer has already paid out 6 months' worth of salary to each of the 3,621 low-paid employees affected by the disaster and sent a further £1.25million in food and financial aid but little progress if any has been made on the agreement of longer term compensation. Unions are holding out for 1.8 million taka (£1,400) for each family of those who died as a result of the tragedy and those who were injured.

For Primark the disaster came as a blow to their image as a family retailer with a low price promise throughout their 250 British and European stores. They are promising further longer term compensation in the New Year and continue to take the lead in paying out compensation. " Primark is calling on other brands involved in the Rana Plaza disaster to make a contribution by paying short-term aid to some 3,000 workers or their dependents who made clothes for their labels," they said in a statement to the press.

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