Press release: Tazreen Claims Administration completes payments to victims

BDT 167,463,882 (USD 2.17 million) is paid out to dependents of those killed at the Tazreen Fashion Fire and to workers injured in the disaster.

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.

To receive payment, each claimant/beneficiary was required to file a claim form and submit minimum documents establishing their employment at Tazreen and level of salary at the time of the fire. Injured workers were medically assessed by multi-disciplinary teams of doctors and psychologists from Centre for the Rehabilitation of the Paralysed, a medical services provider in Bangladesh.

Loss of income for the injured, deceased and missing workers was calculated on the basis of the ILO Convention 121.  In the case injury, it was calculated on the basis of salary and age of the worker.  For dependents of deceased or missing works, payments were based on the salary of the deceased/missing and the age and number of dependents.

Payments made

1. Deceased: 373 claims were filed by the dependents of 103 Tazreen deceased workers. The amount awarded and paid to 373 dependents of the 103 deceased is total BDT 99,358,890 (approximately USD 1,282,050.19).

2. Missing: 37 claims were filed by the dependents of 10 Tazreen missing workers. The amount awarded and paid to 37 dependents of the 9 missing is total BDT 10,537,872 (approximately USD 135,972.54).

3. Injured: 174 claims were filed by Tazreen injured workers. The amount awarded and paid to 172 injured is total BDT57,567,120 (approximately USD 747,624.93).

In total, BDT 167,463,882 (equivalent to approximately USD 2.17 million), has been paid out to 582 beneficiaries. The table below provides a summary report of all payments made to claimants:

 

SL

Type of Claims

Claims

Eligible Claims

Non Eligible Claims

Total

Dependents

Non Eligible Dependents

Payments made to the dependents

BDT

1

Deceased

103

103

0

378

5

373

99,358,890

2

Missing

10

9

1

38

1

37

10,537,872

3

Injured

174

172

2

174

2

172

57,567,120

Total

287

284

3

590

8

582

167,463,882

Payments were made to the individual bank account that were opened for each beneficiary with the Dutch-Bangla Bank Ltd, Motijheel Branch.

All beneficiaries were offered assistance to purchase shanchaipatra (government issued saving bonds with an average interest rate of approximately 11%), with part or the full amount of their awards. From the Dhaka region, 65 beneficiaries purchased shanchaipatra amounting to BDT 19,700,000 and from Rangpur region, 51 beneficiaries purchased shanchaipatra amounting to BDT 15,400,000. In total 116 beneficiaries purchased shanchaipatra valued at BDT 35,100,000.

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 1,000,000), Fung Foundation (USD 1,000,000), 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, so that 100% of the money from donors went directly to victims and their families.

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 Foundations.

Long term medical care

Long term medical care for injured workers is an important element of the Tazreen programme. The Tazreen Coordination Committee has allocated a budget of approximately USD 350,000 for long term medical care to the workers injured in the Tazreen Factory fire. 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.

More information is available in the enclosed document and http://tazreenclaimstrust.org/

For further inquiries, contact: info@tazreenclaimstrust.org