Rana Plaza Second Anniversary


At the second anniversary of the collapse of Rana Plaza in Savar, Bangladesh, Loblaw continues to express condolences to the victims and families affected by the tragedy.
In April 2013, Loblaw committed to relief, compensation and improved standards in Bangladesh. Since that time, the company has undertaken the following actions:

•   Provided total relief and compensation of $5,000,000
       $3,715,000 in compensation to the ILO-led trust fund for long-term compensation to injured workers and the families of deceased workers
       $1,000,000 in relief to Save the Children Bangladesh and the Centre for Rehabilitation of the Paralyzed for textile workers in Savar.
       $285,000 in short-term compensation to provide approximately three months’ salary for Rana Plaza workers

•   Publicly committed to maintaining production in Bangladesh, while also contributing to improving workplace conditions in the country. The company has made every effort to be a leading voice on this topic, making public commitments and public statements on an issue many other brands have chosen to avoid.

•   Became an early signatory – and the only Canadian company – committing to membership in The Accord for Fire and Building Safety in Bangladesh, which introduces standards and audits related to the structural integrity of factories.

•   Increased the level of standards and inspections of all factories where its products are sourced. In the summer of 2013, the company audited each of the dozens of factories in Bangladesh producing its goods. These audits were shared with The Accord.

•   Better defined our standards and are more hands-on in our approach to factory oversight, with Loblaw people on the ground in six countries, including Bangladesh, to ensure the rigour of factory audits and to monitor workplace conditions and local relationships. This team is led by a long-time Loblaw supply chain expert from Canada who has relocated to the region.

We currently source from approximately 40 factories in Bangladesh, and we believe that the economy and manufacturing communities benefit from our presence, attention and long-term commitment. Loblaw continues to work with individuals, industry, government, NGOs and the International Labour Organization (ILO) to improve the standards that will define and protect the safety of workers here forward.
We have an unwavering commitment to responsible and ethical sourcing, evident in our practices and policies, and believe that progress is occurring. While we do not forget its tragic beginnings, we are proud to have made Loblaw a contributing voice in the Rana Plaza response and its unfolding legacy related to factory safety.