Benetton's new CEO must pay up!

published 08-05-2014 08:02, last modified 08-05-2014 08:02
Today Marco Airoldi will be officially appointed the new CEO of the Benetton Group. Clean Clothes Campaign is calling on him to make paying into the Rana Plaza Trust Fund his number one priority.

In his new role Marco Airoldi will lead one of Italy's biggest companies and one of the world's major clothing brands through a time of change.

But before the group can look to the future they must act to remedy the past.

After a year of mixed messages from Benetton regarding their commitment to ensuring compensation for all survivors and the victim’s families, Mr. Airoldi must set the record straight.

As Mr. Airoldi begins his tenure, we lay out the facts regarding Benetton and Rana Plaza and demand he make his first job paying into the Donor Trust Fund.

The facts

What they say : In September 2013, Benetton stated that they were committed to “playing a role in finding an industry-wide, multi-stakeholder approach to [compensation] - much like the Accord did for fire and safety”

The facts:

  • Since December 2013, a multi-stakeholder approach has been in place – The Arrangement. It has the full participation of the Government of Bangladesh, employers organisations, Bangladeshi and international trade unions and NGOs and major clothing brands and has the ILO as a neutral chair.

  • Despite this still Benetton refuse to contribute.

What they say: In March 2014, in their position statement on Bangladesh, Benetton stated they withdrew from the Arrangement as it was becoming “a purely voluntary contribution system, one which was not at all proportionate to each company’s presence in Bangladesh”

The facts:

  • The decision to make the scheme voluntary was in a response to brands – including Benetton – failing to reach an agreement amongst themselves on what the criteria for donations should be.

  • Clean Clothes Campaign believes that all brands in Bangladesh should contribute according to their ability to pay, relationship with Bangladesh and relationship with Rana Plaza, on this basis we believe Benetton should contribute US$5 million.

What they say: Benetton have said they are focus[ing their] efforts and resources in working directly with those affected by the Rana Plaza disaster. This has been delivered by providing funding to BRAC schemes.

The facts:

  • In the words of ILO Deputy Director General, Gilbert Houngbo, “Compensation is an entitlement. Charity has a key role to play supporting rehabilitation and other services but it is voluntary by nature and not a substitute for entitlement.”

  • BRAC provides much needed support to many in Bangladesh, however this should be additional to the right to compensation as laid out in international law. Benetton must also contribute to the Donor Trust Fund to ensure all survivors and victims receive the support they need.

See also
Amidst Wave of Deadly Fires, Bangladesh Government Threatens to Expel the Only Credible Building Safety Programme in the Country and Further Suppress Workers’ Rights Amidst Wave of Deadly Fires, Bangladesh Government Threatens to Expel the Only Credible Building Safety Programme in the Country and Further Suppress Workers’ Rights

On the sixth anniversary of the Rana Plaza building collapse, labour rights groups are calling on ...

Workers' Right to Compensation after Garment Factory Disasters: Making Rights a Reality

Although it’s been five years since the Rana Plaza garment factory collapse, in many countries ...

Clean Clothes Campaign statement on five years anniversary of Tazreen Fashions fire Clean Clothes Campaign statement on five years anniversary of Tazreen Fashions fire

Five years ago today, the Tazreen Fashions factory in Bangladesh went up in flames. Over 112 ...

Four years since Aswad fire compensation by brands can no longer wait Four years since Aswad fire compensation by brands can no longer wait

Today four years ago, a fire broke out in the Aswad Composite Mills textile mill in Bangladesh, ...

Global support for Bangladesh factory safety surpasses one million

Over one million people have signed petitions calling for brands sourcing from Bangladesh to sign ...

Four years after Rana Plaza: steps in the right direction but a lot remains to be done Four years after Rana Plaza: steps in the right direction but a lot remains to be done

On 24 April 2017 the Clean Clothes Campaign network will be remembering those killed and injured at ...

Landmark compensation arrangement reached on 4th anniversary of deadly Pakistan factory fire

After four years of campaigning and months of negotiations, an agreement has been reached to pay ...

Compensation arrangement agreed for victims of the Ali Enterprise factory fire in Pakistan Compensation arrangement agreed for victims of the Ali Enterprise factory fire in Pakistan

An agreement in excess of US$5 million has been reached to provide compensation for loss of income, ...

Rana Plaza three years on: the struggle for justice and safety is not over

As the third anniversary of the Rana Plaza building collapse approaches, the Clean Clothes Campaign ...

Three years after Rana Plaza solidarity and struggle are still needed   Three years after Rana Plaza solidarity and struggle are still needed

Today, on the third anniversary of the Rana Plaza tragedy, the Clean Clothes Campaign reiterates ...

more ...