abusesaffiliationarrow-downarrow-leftarrow-rightarrow-upattack-typeburgerchevron-downchevron-leftchevron-rightchevron-upClock iconclosedeletedevelopment-povertydiscriminationdollardownloademailenvironmentexternal-linkfacebookfiltergenderglobegroupshealthC4067174-3DD9-4B9E-AD64-284FDAAE6338@1xinformation-outlineinformationinstagraminvestment-trade-globalisationissueslabourlanguagesShapeCombined Shapeline, chart, up, arrow, graphLinkedInlocationmap-pinminusnewsorganisationotheroverviewpluspreviewArtboard 185profilerefreshIconnewssearchsecurityPathStock downStock steadyStock uptagticktooltiptwitteruniversalityweb
Article

24 Apr 2017

4th anniversary of Rana Plaza: Global investors with over US$ 4 trillion assets welcome progress by Accord, & urge further action & remedy

In the aftermath of the tragedy at Rana Plaza, April 24, 2013, the Bangladesh Investor Initiative coordinated by the Interfaith Centre for Corporate Accountability (ICCR) has actively engaged companies sourcing in the garment sector. Substantial progress has been made in the last 4 years, in particular through the Accord on Fire and Building Safety (Accord), a five year, legally binding framework for factory inspections signed by trade unions, brands and retailers. With one year left in its mandate, the investors believe significant progress has been made, but more needs to be accomplished.

On the 4th anniversary of Rana Plaza, 137 global investors with over US$ 4 trillion combined assets under management signed a statement which focuses on following recommendations:

  1. Accord on Fire and Building Safety (Accord) companies and trade union representatives agree to extend the Accord for the period of time needed to remediate systemic issues that still threaten worker safety and livelihood. 
  2. Accord companies implement due diligence to assess the financial capacity of suppliers and ensure proper financing is available to expedite the remediation of more costly safety hazards such as enclosed stairwell, sprinkler systems, hydrants and structural retrofitting.
  3. Alliance for Worker Safety companies ensure remediation of outstanding issues and publicly report on progress.
  4. Broaden the current scope of the Accord to include; i) a focus on freedom of association and collective bargaining and integrate this into the Complaints Mechanism process and ii) additional parts of the supply chain where similar risks exist such as washing, dying, fabrics, leather and home textiles.
  5. The Accord model of governance, legally binding provisions and ongoing transparency be the fundamental component of any credible further initiative or expansion into other countries and sectors. 

Investors will be engaging companies in their portfolios to take the time necessary to remediate all the issues found in factory inspections and ensure the safety and health of workers going forward.

See ICCR's press release for more details.

Timeline