Wal-Mart Stores Inc. said Tuesday that it has barred dozens of apparel factories in Bangladesh from supplying goods to the retailer.
The company said it would conduct in-depth inspections over the next six months of each of the 279 factories that remain on its approved list.Results of those inspections will be publicly released, the company said.
“Transparency is vital to make progress in improving factory conditions, and by disclosing this information, government, workers, non-government agencies and companies can benefit from this work,” Rajan Kamalanathan, vice president of ethical sourcing for Wal-Mart, said in a news release.
The inspections are to include thermal circuit imaging to determine the temperature profile of the factory electrical system and analysis for possible faults and fire risk; reviewing system compliance with local legislation and global standards; measuring circuit voltage, current, insulation and leakage to identify system performance and existing or new risks; and a review of circuit load in relation to system protections to guard against overload, hot spots and sparks.
Also to be included is confirmation of approved building design; a review of building utilization and permits; compliance with local legislation and reviews of escape routes,fire-detection systems and sprinkler systems; visual inspection of building conditions for signs of structural stress; and reviews of the use of each building compared with conditions established in the fire certificates for the buildings.
In April, more than 1,120 people died when a building that housed five apparel facto-ries in Bangladesh collapsed.
Paco Fabian, a spokesman for the Wal-Mart critic group Change to Win, said Wal-Mart is among a few apparel retailers that have declined to sign a pact called the Bangladesh Safety Accord. That accord is aimed at enforcing a set of safety conditions at apparel factories.
“If they really want to be transparent, and they really want to do something, theyshould sign the accord,” Fabian said.
Wal-Mart’s stock closed Tuesday at $78.78, up 28 cents, or 0.36 percent, on the New York Stock Exchange. The stock has traded between $58.95 and $79.50 in the past year.
Business, Pages 25 on 05/15/2013