Home / Knowledge / News / Apparel/Garments / G7 to set up new insurance fund for garment industry
G7 to set up new insurance fund for garment industry
15
Jun '15
G7 heads of state and government
G7 heads of state and government
There is some good news for garment factory workers. G7 leaders meeting in Bavaria have agreed to establish a new fund to help improve the global supply chain in the wake of the Rana Plaza disaster in Bangladesh in 2013 in which 1,137 people died when a building housing garment workers collapsed.

According to media reports, the fund would help provide compensation in the event of further similar disasters and provide cash to improve fire inspection and building safety regulations. This can help to make sure that garments are manufactured in facilities that are structurally sound and that they have proper fire safety measures in place.

The G7 will recommend that western consumers have access to apps that better inform them about whether clothes they intend to buy were manufactured in decent working conditions.

The insurance fund is also designed to cut compensation delays that were seen by Rana Plaza victims.

Victims and relatives of victims of the Rana Plaza disaster have had to wait over 2 years to see a compensation fund to be able to reach its target of £20 million (approximately $30 million). German Chancellor Angela Merkel added the issue of the working conditions in the textile industry to the agenda for the G7.

The communiqué for the G7 leaders has now called for a “vision zero fund”, which would work as a kind of insurance policy that would be able to provide victims of future disasters with appropriate and timely compensation, and would help to better the working conditions in the first place.

The administration of the insurance fund would be aligned with the International Labor Organization (ILO) and would mean that trade associations in developed nations with representation at the G7 would be required to contribute. This insurance system would protect firms that have made a commitment to taking on adequate disaster prevention measures and that assist in the implementation of social, labor, environmental, and safety standards. (SH)

Fibre2fashion News Desk – India

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

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Ritu Kumar
Label Ritu Kumar

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

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