LONDON: Primark's sales have been unaffected by adverse publicity created by more than 1,000 workers being killed in the collapse of a Bangladeshi factory that supplied the retailer's clothes.
Primark recorded a year-on-year sales increase of 22% for the 40 weeks prior to June 22 on the back of a “marked improvement” in sales in May and June, despite the tragedy at Rana Plaza on April 24.
In a statement released to coincide with this morning's results, Primark said it was “deeply saddened by the tragic events caused by the building collapse at Rana Plaza in Bangladesh in April where one of Primark's suppliers was located on the second floor.”
Primark claims it has donated food to some 1,300 families shortly after the event and has paid short-term financial compensation to more than 3,300 workers in the building irrespective of their employer.
In addition, Primark has pledged "long-term compensation" for victims that worked for its supplier and their dependents.
Primark claimed on May 21 that it was the brand leading the way in its response to the tragedy, despite other brands having suppliers based at Rana Plaza.
“The company was the first brand to acknowledge that its suppliers were housed in the Rana Plaza complex. The company was the first brand to commit to paying compensation to workers and their dependents,” said a spokesman. “And the company was the first UK brand to sign up to the accord on building and fire safety.”
Other brands that reportedly had suppliers based at Rana Plaza included Monsoon, Benetton, and Walmart.
This story originally appeared on the website of Marketing.