Controversy Surrounds Effort to Compensate Bangladesh

5/7/2015
Controversy Surrounds Effort to Compensate Bangladesh Building Collapse Victims
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Controversy Surrounds Effort to Compensate
Bangladesh Building Collapse Victims
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Fatema holds a picture of her son Nurul Karim as she poses for a photograph in front of her house in Savar, April 21, 2014. Fatema lost
her son and her daugther Arifa, who were working at the Rana Plaza when it collapsed on April 24, 2013.
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Labor Unions Gaining Ground in
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KOLKATA—Two years after the collapse of Dhaka’s
Rana Plaza building, in which more than 1,100 garment
factory workers died, millions of dollars have been paid
to thousands of affected people, but the disbursement
is not without controversy.
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Soon after the tragedy, the Bangladesh government
and global clothing companies collected money for two
separate funds to compensate the survivors and the
dependents of those killed in the collapse of the nine­
story building.
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Bangladesh’s commercial banks and other local
sources contributed $16 million to the prime minister’s
Relief and Welfare Fund following the disaster.
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Transparency International Bangladesh (TIB)­ the
Garment Workers
Bangladesh chapter of the global anti­corruption
watchdog last month reported that the prime minister’s fund has disbursed just
$2.48 million of that total.
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Another fund, called Rana Plaza Donors' Trust Fund, which was set up
exclusively for Rana Plaza victims, drew $27 million in contributions from
some 30 European and American clothing brands, some Bangladeshi garment
manufacturers and the PM’s fund.
The Rana Plaza Claims Administration (RPCA), which manages the trust
fund, says that so far it has disbursed some $19.63 million among the victims.
Officials are still trying to determine the final number of people killed in the
tragedy, because the bodies of 159 people reported missing have never been
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Controversy Surrounds Effort to Compensate Bangladesh Building Collapse Victims
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found. That could bring the total number killed to about 1,300.
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The Rana Plaza Donor’s Trust Fund says it is about $3 million short of the
$30 million it estimates it needs to compensate all victims of the tragedy.
Central African Republic
Transparency International Bangladesh executive director Iftekhar Zaman is
calling on the Prime Minister’s fund to make up the difference.
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“Although the Prime Minister’s fund received contributions of $ 16 million for
the Rana Plaza tragedy victims, only $ 2.48 million was disbursed (through
trust fund). In fact, the whole amount of $ 16 million is meant for use as relief
to those victims,” Zaman said.
A spokesman for the Prime Minister’s Office’s has defended its donation
record, saying the collections are not exclusively for the Rana Plaza victims,
and could go to other people in need. But officials have provided little
information about the disbursement of the funds, says Transparency. The
group says the government so far has failed to even provide a list of who has
already been compensated.
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Blame game For the families of workers killed in the factory, the compensation amount
varies depending on their salary, and the number and age of their dependents.
Administrators say the amount ranges from around $6,425 to $12,850.
Several workers in highly placed positions were compensated more than
$32,000.
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Phil Robertson, Asia Deputy Director of Human Rights Watch, partly blames
some international garment brands who had operations in the garment
factories, but have failed to meet expectations on donations to the relief fund.
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“But it also indicates yet another appalling abdication of responsibility by the
Bangladesh garment factory industry itself, since their trade group the
BGMEA (Bangladesh Garment Manufacturers and Exporters Association) is
not contributing to the fund," he said.
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The Centre for Policy Dialogue (CPD), a Dhaka­based think­tank, said that
although the government and outside groups have improved working
conditions in many garment factories over the past two years, the slow
payments process has meant that survivors and the victims’ families are
being denied financial support which could help rehabilitate them.
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