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U.S. Retailers See Big Risk in Safety Plan for Factories in Bangladesh

Author: Steven Greenhouse, New York Times, Published on: 22 May 2013

American retailers remain sharply opposed to joining an international plan to improve safety conditions at garment factories in Bangladesh as their European counterparts and consumer and labor groups dismiss the companies’ concerns about legal liability. A few shareholders at Gap’s annual meeting this week questioned the company’s refusal to sign on to a plan that commits retailers to help finance safety upgrades in Bangladesh, where 1,127 workers died when the Rana Plaza factory building collapsed on April 24…Whether the new accord would subject retailers to substantial legal risks has been debated since nearly three dozen European retailers embraced the plan last week while almost all major American companies shunned it. [also refers to Wal-Mart, Nordstrom, Target, Associated British Foods, H&M]

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Related companies: adidas Associated British Foods Gap H&M Nordstrom Primark (part of Associated British Foods) Target Walmart