Settlement agreement reached with one fashion brand in arbitration case over alleged violation of Bangladesh Accord
"Settlement reached with global fashion brand in Bangladesh Accord arbitration", 15 Dec 2017
IndustriALL Global Union and UNI Global Union have reached a settlement agreement in a case under the legally-binding enforcement mechanisms of the Bangladesh Accord on Fire and Building Safety.
This settlement will ensure that the supplier factories associated with this leading fashion brand are remediated and that substantial funds are available for that remediation work consistent with the 2013 Bangladesh Accord.
Global union federations, IndustriALL and UNI, launched arbitrations against two leading fashion brands in 2016. This settlement agreement applies to one of those two cases.
The case hinged on whether the global brands involved met the Accord requirements to require their suppliers to remediate facilities within the mandatory deadlines imposed by the Accord and to negotiate commercial terms to make it financially feasible for their suppliers to cover the costs of remediation.