8 August 2017
Statement on the termination of Accord signatory companies’ business relations with Ali Apparels Ltd., Kutubail, Katherpool, Fatullah, Narayanganj, Bangladesh, due to the supplier’s failure to implement workplace safety measures.
The Accord on Fire and Building Safety in Bangladesh is conducting independent, engineering inspections for fire, electrical, and building structural safety at all factories in Bangladesh producing for Accord signatory companies. The Accord oversees the development of Corrective Action Plans (CAPs) by factories and Accord signatories and monitors remediation through follow-up verification visits. The Accord supports factories in the remediation by providing technical advice and developing resources and guidance. The Accord signatory companies also support factories in the remediation as per their obligations under the Accord agreement.
Where corrective actions to eliminate safety hazards are identified, the factory is required to implement these corrective actions according to a schedule that is mandatory and time-bound. If a supplier fails to implement the Accord’s corrective actions and cooperate fully in the Accord’s inspection and related programs, the supplier will receive notice and warning that its business with Accord signatory companies will be terminated if non-compliance persists. If the notice and warning process does not lead to sufficient progress, business with the supplier will be terminated by the Accord signatory companies.