GENEVA — The families of the victims of last month’s Smart Fashion garment factory fire in Dhaka, Bangladesh, received payments on Sunday following negotiations between trade unions, employee groups and foreign brands, according to the global labor union group IndustriALL Global Union.
This story first appeared in the February 26, 2013 issue of WWD. Subscribe Today.
The Geneva-based IndustriALL, which represents textile, apparel and leather workers worldwide, said Bangladesh Prime Minister Sheikh Hasina handed out the compensation to families of the deceased workers. The Bangladesh newspaper Financial Express in its Monday edition quoted Hasina saying, “We’re taking all the necessary measures so that such incidents do not recur.”
Eight workers were killed and 20 injured in the Jan. 26 fire at the garment factory. IndustriALL said the agreement was negotiated by its affiliates in Bangladesh and companies Inditex Group and New Look, under which “each family receives [$13,300] and one family with two minor children gets an additional 10 percent to meet educational costs for minor children.” In addition, compensation of $1,270 to every family was made by the Bangladesh Garment Manufacturers and Exporters Association and Bangladesh Knitwear Manufacturers & Exporters Association. The injured workers will also receive payments, it said. Representatives for Inditex and New Look could not be reached for comment.