Primark: Taking responsibility over Dhaka?

Laura Kuenssberg

Former Business Editor

Primark has announced they will pay compensation to the families of the victims of the Dhaka disaster Credit: Lewis Stickley/PA Wire/Press Association Images

Primark, one of the many fashion firms that bought products from the factories housed inside the destroyed Rana Plaza in Dhaka, has just announced that they will pay compensation to the families of the victims of the disaster, including the promise of help over the long term for children who lost parents in the disaster that claimed so many lives.

The company already has a team in place on the ground and is working with a local NGO to provide emergency food to families that have been affected.

What is interesting about the move is not just that the business is making these kinds of promises, but that they are also urging others to follow their example.

Like many factories in Bangladesh's enormous garment industry, those inside Rana Plaza supplied many different clients.

We understand that 26 companies, also including Matalan and Mango, bought from there.

Primark is all too aware of that, telling us this afternoon, "Primark notes the fact that its supplier shared the building with those of other retailers. We are fully aware of our responsibility. We urge these other retailers to come forward and offer assistance."

It's not clear yet if other companies will heed their call. But it is all too obvious that keeping costs down can still leave companies with a heavy price.

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