Home / Knowledge / News / Apparel/Garments / Bangla Rana Plaza mishap claims process begins today
Bangla Rana Plaza mishap claims process begins today
24
Mar '14
From one month before the first anniversary of the Rana Plaza building collapse in Bangladesh, the families of the 1138 workers killed in the disaster and over a thousand workers left with life changing injuries can start registering claims for compensation to cover the financial losses and medical costs they suffered as a result. 
 
As the claims begin campaigners are strengthening their call for brands buying from factories located in the devastated building to pay millions of dollars in compensation into the Rana Plaza Donors Trust Fund, set up to finance these payments.
 
The Trust Fund, which has been set up by the International Labour Organisation has been open for contributions since February. The Fund needs to reach a final target of $40million in order to pay out full compensation to all workers and their families. 
 
The experts involved in designing the process estimated that 25% of the final target would be needed to make the first round of payments to all workers. The coordination committee now believes that sufficient funds are available and agreed to launch the claims process on March 24th, one month before the first anniversary. 
 
The claims will be calculated and delivered in line with international standards under a system known as the Arrangement. The process will be overseen by a multi-stakeholder coordination committee comprising of international and Bangladeshi representatives from government, industry and the trade unions. 
 
The timing of the claims launch will ensure that all victims and their family should receive an initial payment by the first anniversary of the disaster on April 24th. All beneficiaries will be invited to submit a claim, with the aim to process all payments within six months, which will paid out over up to four instalments. 
 
Every family will receive a minimum payment of 50,000 BDT by 24th April (around $2 million in total) as an advance payment towards their claim. Those workers whose claims can be fully processed by April 24th will also receive their first full instalment, which will represent 20% of their total claim.
 
The only barrier now in getting compensation to the victims of the garment industry's worst ever disaster is the refusal of many brands to make significant contributions to the Fund. 
 
Ten brands have already confirmed donations into the Fund, including Mango, Inditex and C&A. This week an agreement was reached between the Coordination Committee of the Arrangement, the multi-stakeholder body overseeing the compensation process, and Primark, which initially set up its own process for delivering payments to 500 workers employed at New Wave Bottoms, the factory supplying the Anglo Irish retailer. 
 


Must ReadView All

Apparel/Garments | On 30th Apr 2016

Britain keen on new ventures in textiles and garment

British High Commissioner to India Sir Dominic Asquith, has said that ...

Apparel/Garments | On 30th Apr 2016

‘India’s apparel sector needs to revisit policies’

Apparel Export Promotion Council (AEPC)’s Additional Secretary...

Textiles | On 30th Apr 2016

Bangladesh spinners wary of another gas price hike

Bangladeshi cotton spinners have expressed concern that they may lose ...

Interviews View All

Magdalena Kondej
Euromonitor International

Which are the most emerging markets and the most saturated markets in the...

Engineer Sohail Lashari
Lahore Chamber of Commerce and Industry, LCCI

Should banning import and export of certain textile products be...

Christina Dean
Redress

How do you see the market for sustainable fashion in the near future? Has...

Drew Walker
AGY Holding

<i><b>Drew Walker, </b>CEO of AGY says “our main competition in China is...

Pierre Wiertz
EDANA

<i><b>Pierre Wiertz</b> talks about the vast world of sustainable...

Mr G V Aras
A.T.E Enterprises Pvt Ltd

Armed with an M.Text and a Post Graduate Diploma in Marketing Management,...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
April 2016

F2F Magazine

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


<%@ language="VBScript" %>
feedback
We would love to hear from you about your experience using the new interface. A quick review of yours would help us give you a better experience.
Advanced Search