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Company Response

10 Sep 2015


KiK rejects accusations of international trade unions

It was with great astonishment that KiK has learned of the recent accusations and untruths by some international unions. But constantly repeating false allegations does not make them more true. KiK therefore rejects the accusations as incomplete and knowingly misleading. KiK has always explicitly stated to welcome the recently initiated judicial examination to finally clarify the accusations. The proper location for this clarification should, however, not be the public media, but rather the court. Therefore, it is less about "losing patience" as the organizations claim, but about showing respect for a German court and its ruling...From the outset, KiK has agreed to provide the necessary assistance for reasons of human compassion. As first institution, KiK therefore has paid an amount of USD 1 million to help the victims of the factory fire at Ali Enterprises quickly and unbureaucratically. Moreover, those affected by the fire have received several million US dollars of the Pakistani government, the factory owner and a private individual.KiK had also offered to provide further long-term assistance, if required. For this purpose, KiK has proposed a process in accordance with Convention 121 of the International Labor Organization, which was successfully applied in the Rana Plaza collapse. At the time, international unions have expressively supported this process. In the case of Ali Enterprises, however, stakeholders have rejected an analogous application, which in the end would have provided more assistance to those concerned. They have instead demanded lump sum payments in millions of dollars by KiK. In the interest of those affected KiK has always been interested to reach a quick and unbureaucratic agreement.