Three years have past since the largest industrial accident in Pakistan’s history, an industrial disaster leaving 254 dead and 55 seriously injured. On 11 September 2012 the factory Ali Enterprises went up in flames, in which the workers’ were supplying clothing for its main customer Kik.[1] Workers were trapped behind locked doors and windows and unable to escape the blaze.
Immediately after the accident Kik signed a memorandum of understanding committing that the company would pay $1 million to the victims and families for immediate relief. Kik duly paid this amount. However the agreement also bound Kik to engage in negotiations to determine long-term compensation for the victims and their families. Kik also promised to pay $250,000 for future labour standard enforcement.
Since the 21st December 2012 when Kik signed the MOU the company has avoided paying the $250,000 and has not engaged in negotiations to provide long-term compensation.
The global union IndustriALL and the Clean Clothes Campaign are calling on the major German retailer to honour its promises. [2] More information regarding the campaign is available here: http://www.cleanclothes.org/ranaplaza/ali-enterprises-fire
[1] Cleanclothes.org (2015): German retailer KiK must pay promised compensation to Pakistani factory fire victims, , 09/09/2015, called on 09.29.2015
[2] IndustriALL (2015): German retailer Kik must pay promised compensation to pakistani factory fire victims.