Tazreen compensation finalised


The Tazreen Claims Administration Trust (TCA) has finalised its work, completing the compensation payments to the victims of the 2012 Tazreen Fashion fire in Bangladesh. In total, approximately USD 2.17 million was paid out to the families of the 112 dead and missing, and the 174 workers injured in the fire.

In September 2015, the Tazreen Claims Administration Trust (TCA) was established to make payments victims of the Tazreen Fashion fire, including injured workers and families of the deceased and missing.

The TCA grew out of an initial agreement signed by C&A, C&A Foundation, IndustriALL Global Union and the Clean Clothes Campaign in November 2014, which committed the parties to developing a scheme to provide loss of income payments to all those impacted by the Tazreen fire.

The scheme was based on the mechanism used to compensate thousands of victims of the 2013 Rana Plaza factory collapse in Bangladesh, with loss of income for the injured, deceased and missing workers calculated on the basis of ILO Convention 121.

“We are pleased that the compensation process could be carried out in a way that is consistent, transparent and fair. While the work of the TCA has finalised, at C&A Foundation we remain committed to victims and their families and further programmes will continue”

Head of Suppy Chain Transformation & Innovation, C&A Foundation Jill Tucker

Payments made

  • Deceased: Approximately USD 1.3 million was awarded and paid out to 373 dependents of the 103 workers who lost their lives;
  • Missing: Around USD 130,000 was awarded and paid to 37 dependents of the 9 workers still missing; and
  • Injured: Approximately USD 740,000 was awarded and paid to the 172 workers injured in the fire.

In total, an equivalent of USD 2.17 million, has been paid out to 582 beneficiaries.

Source of Funding

The total funds required to pay awards, and to provide long term medical care for injured workers from the Tazreen fire was estimated at approximately USD 2.5 million. This was paid for by C&A Foundation (USD 1 million), Fung Foundation (USD 1 million), BRAC USA (USD 250,000), KiK (USD 150,000) and EI Corte Ingles (USD 100,000).

In addition, C&A Foundation covered the administrative and running costs of TCA separately. Further programs will continue as planned, including the educational trust for children of Tazreen victims, which is funded by the C&A Foundation and Fung Foundation.

Long Term Medical Care

The long term medical care for injured workers is an important element of the Tazreen programme and the TCA has allocated a budget of approximately USD 350,000 to this. Arrangements are being made to combine the Tazreen long term medical care programme with that of Rana Plaza. A Trust for that purpose is being established.

With this, the Tazreen Claims Administration has completed its mandate and currently is under the process of closing down. For more information see: http://tazreenclaimstrust.org/