A summary of Primark’s Rana Plaza response

23 December 2015

Primark notes the actions being taken by the Bangladesh courts against a number of individuals in relation to the collapse of the Rana Plaza building in 2013 and the recent media coverage of this. Primark was shocked and saddened by the Rana Plaza disaster, and that is why Primark responded by taking the many steps that it has.

Primark’s actions to date

  • The first brand (as far as it is aware) to state clearly and unambiguously that it had an independent third-party supplier factory in the Rana Plaza building
  • Provided food aid and short-term financial assistance, to all victims or their families, irrespective of whether they worked for Primark’s supplier or for one of the other suppliers in the building making clothing for competitors
  • Created the only comprehensive database of workers in the building at the time of the collapse
  • The first UK brand (as far as it is aware) to commit to support the Accord on fire and building safety
  • Put in place a proper, long-term compensation scheme based on medical assessments and internationally recognised standards for victims and / or their families, with payments taking into account injury, loss of earnings, and vulnerability
  • Contributed to the ILO compensation scheme, including a $1m contribution to workers who made clothing for the company’s competitors.

Primark has completed more than 95% of long-term compensation (LTC) payments to the 672 workers (or their dependents) of Primark’s supplier, New Wave Bottoms, which occupied the second floor of the eight storey building, who died or were injured as a result of the Rana Plaza building collapse in Bangladesh on 24 April 2013. Only final payments to recently identified beneficiaries and extremely vulnerable people remain outstanding.

Total payments now stand at $14 million, of which long-term payments amount to $11 million and have been made in full, in cash, directly by Primark. Payments have been delivered to victims through the BRAC Bank and bKash.

Primark will continue to monitor the welfare of victims with long-term injuries or loss of earnings, in conjunction with local partners that have advised the company on its approach to compensation.

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