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

Textiles | On 25th Mar 2017

GST to positively impact retail value chain: CBRE

The implementation of the Goods and Services Tax (GST) bill in India...

Textiles | On 25th Mar 2017

MEGlobal to build first ever US MEG plant

Monoethylene glycol (MEG) producer MEGlobal plans to construct a new...

Courtesy: Ulster Carpet

Textiles | On 25th Mar 2017

Ulster Carpets acquires Griffith Textile Machines

Northern Ireland based manufacturer of carpets, Ulster Carpets said...

Interviews View All

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Smita Murarka
Amanté

‘There is huge demand in the Indian lingerie market for non-wired styles.’

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

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
March 2017

March 2017

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

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search