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An international agreement to improve safety in Bangladeshs clothing factories is facing the threat of legal action as factory owners demand compensation for the cost of closures and repair work. With some repair programmes expected to take months, factory owners say they cannot shoulder the costs of paying staff while factories are closed, alongside the expense of some major works needed to ensure buildings are safe. The building overhauls are being carried out in the wake of the collapse of the Rana Plaza complex in the capital of Bangladesh, Dhaka, in 2013, in which 1,138 people were killed. The problems come as hundreds of Bangladeshi clothing factories per month are inspected for fire- safety and structural problems under the Accord on Fire and Building Safety in Bangladesh, which is backed by over 170 international brands, including Primark and Marks & Spencer, and international trade unions, including IndustriALL. The owner of one Dhaka-based factory, Softex Cotton, has threatened legal action against the Accord after his factory was closed down due to structural problems, prompting a demand for a reported $100m in compensation. Another factory owner, who declined to be named, said that once a factory closed its doors, even for a few months, it would lose orders and close permanently: “There is no such thing as temporary closure,” he said. The factory owner

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August 2026