Bangladesh
Many global apparel brands and buyers say that the Bangladesh supply chain has too many weak links in order to remain competitive and reliable. Risk analysis firm Verisk Maplecroft says that the country has lost over US$4 billion in orders this year due to ongoing political protests between the ruling Awami League and the opposition BNP. Experts say that blockades enforced by protesters have caused shipments through the Port of Chittagong to slip by 40%. Over 100 people have also lost their lives as a result of the unrest. (The Loadstar)
Labor leaders in Bangladesh say that several multi-national brands and export-oriented factories are receiving special, unfair exemptions from the country’s labor laws. These include exemptions from policies pertaining to working hours as well as daily and weekly breaks. Labor activists say that the companies are using the exemptions as a way to circumvent labor laws, though government officials contend that the practice is legitimate and that all exemptions are given full consideration before approval. (New Age BD)
Small and medium garment factories in Bangladesh are requesting more low-cost financing from the Alliance for Bangladesh Worker Safety in order to make needed repairs and upgrades. In a meeting between the Alliance and the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), industry representatives in Bangladesh noted that many smaller factories were struggling to meet the demands put on them by Western buyers, and that further financing would be needed to achieve the Alliance’s goals. The meeting was called after the Alliance submitted a list to the BGMEA of 110 factories that had failed to complete mandated engineering assessments on time. (New Age BD)
Global retailer Primark says it has completed disbursing long-term compensation payments to 95% of the 668 workers who were working in the New Wave Bottoms factory at the time of the collapse. Payments were calculated according to the impact of the injuries sustained by the workers and by the level of disability. Primark has contributed a total of US$14 million to the victims as well as an additional US$1 million to the Rana Plaza Donors Trust Fund, administered by the International Labor Organization (ILO). (The Daily Star))
Bangladesh’s highest court has rejected a bail petition filed by Aminul Islam, one of the owners of a Rana Plaza garment factory. He was one of 17 people charged with corruption for constructing the building twice as high as it was supposed to be and for allowing it to be used for industrial purposes instead of for commercial use as it was designated for. The building collapsed on April 24, 2013, killing over 1,100 people. (New Age BD)
