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companies who failed to attend include Li & Fung (agreed to participate in compensation),

Teddy Smith, Edinborough Woolen Mills,Dickies and Karl Rieker.

Rana Plaza Factory collapse and Primark Response

Primark is anIrish clothing retailer under a brand name stores Penneys operating inAustria,

Belgium, Germany, Ireland Portugal, Spain, the Netherlands and the United Kingdom.

Primark was first started in June 1969 in Dublin. The main headquarter of company is in

Dublin. It is a subsidiary brand ofBritish food processing companyABF.Primark becomes a

big brand and then new stores were added to its chain. Primark men and women wear

clothing was manufactured at Rana plaza in Bangladesh.

On 24 April 2013, an eight-story commercial building named Rana Plaza collapsed in

Bangladesh small district Savar. About 1130 people died and 3,000 were injured. Primark

offered compensation and emergency aid to the victims of the collapse. Primark has initiated

the process of paying compensation to thousands of workers and their families who were

involved in the Rana Plaza factory accident.Primark had decided to provide short-term aidwhich will be equal to three month salary of employees and they also assured to pay long

term benefit to the victims but it will take a long time to decide about the right compensation.

Paul Lister, head of governance at AB Foods said it is a right thing to do for victims because

they are really facing hardships.

Daniel Randall who was the activist of campaign said the compensation deal was certainly

better than nothing but Primark still had a long way to go. The basic thing that we want for

companies to recognise independent trade unions in the workplace. Primark wants to

guarantee that compensation gets to the right place and that any health and safety accords

are properly enforced. Primark promoted the campaign by entering in health and safety

accord to make workers space to organise and ensure independent trade unions can do that

in every factory. He also mentioned Gap and Walmart for refusing to sign the accord on fire

and building safety in Bangladesh. This agreement was drawn up by unions and

campaigners with the support of more than three dozen retailers, including H&M, Zara,

Marks & Spencer and Primark.

Such incidents are not only happened in Bangladesh as well as happened in many other

countries due to not following the health and safety precautionary measures. In above both

incidents the Walmart and Primark were socially bound in a legal and social responsibility for

the health of society health and safety and the victims of the incident. Both companies

should comply with the health and safety measures should be provided to workers atfactories and they should also involve the Bangladesh government and welfare society to

provide enough safety measures to workers. Walmart declared the Tazreen Fashion as

orange grading due to lack of safe work arrangements which was not enough for

implementing the safety policies. Walmart could implement this by forcing or cancelling the

next orders to Tazreen Fashion at that time. Primark also increased the safety regulations

after the incident. After the deadly incidents in both companies makes them realized their

corporate social responsibility and took some steps to precautionary safety practices at the

workplace with their partner suppliers in Bangladesh. On 27 November, Walmart announced

to end its relationship with Tuba, which Walmart stated had been contracted by a supplier

without its knowledge. Walmart also said it would donate US$1,600,000 to Institute forSustainable Communities, which will use the donation to set up an Environmental, Health

http://en.wikipedia.org/wiki/Republic_of_Irelandhttp://en.wikipedia.org/wiki/Austriahttp://en.wikipedia.org/wiki/Belgiumhttp://en.wikipedia.org/wiki/Germanyhttp://en.wikipedia.org/wiki/Irelandhttp://en.wikipedia.org/wiki/Portugalhttp://en.wikipedia.org/wiki/Spainhttp://en.wikipedia.org/wiki/Netherlandshttp://en.wikipedia.org/wiki/United_Kingdomhttp://en.wikipedia.org/wiki/United_kingdomhttp://en.wikipedia.org/wiki/Associated_British_Foodshttp://www.theguardian.com/business/primarkhttp://www.theguardian.com/business/primarkhttp://en.wikipedia.org/wiki/Associated_British_Foodshttp://en.wikipedia.org/wiki/United_kingdomhttp://en.wikipedia.org/wiki/United_Kingdomhttp://en.wikipedia.org/wiki/Netherlandshttp://en.wikipedia.org/wiki/Spainhttp://en.wikipedia.org/wiki/Portugalhttp://en.wikipedia.org/wiki/Irelandhttp://en.wikipedia.org/wiki/Germanyhttp://en.wikipedia.org/wiki/Belgiumhttp://en.wikipedia.org/wiki/Austriahttp://en.wikipedia.org/wiki/Republic_of_Ireland

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and Safety Academy in Bangladesh. After the Rana Plaza collapse, including Primark more

than 50 brands have signed up to a legally binding building safety agreement backed by

international trade union Industrial and the Bangladeshi government. Under the terms of the

deal, brands including H&M and Marks & Spencer, as well as Primark, have each agreed to

contribute up to $500,000 a year towards rigorous independent factory inspections and the

installation of fire safety measures. On their website, Primark has declared some of thesteps taken into response of Rana Plaza incident. It include short term financial assistance

to the affected families. This aid was equal to three months salary. Primark also started

structural building surveys in Bangladesh to assess the structural integrity of factories from

which Primark source garments. It also showed its great concern in making the workplace

fire safe. The Accord is a pioneering contract between 70 apparel brands and retailers,

international and local trade unions and NGOs to ensure sustainable improvements to

working conditions in the Bangladesh Garment Industry. Although the incidents affected the

huge brands negatively but Walmart and Primark realized their Corporate social

Responsibility and performed necessary actions to neutralize the affect of disasters due to

lack of safety regulations in developing country.

Conclusion