Walmart calls on Bangladesh to take action with three factories

Walmart ( id="symbol_WMT.N_0">WMT.N) called on the Bangladesh government on Monday to stop production at one apparel factory and investigate the condition at another until workers' safety could be assured.

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The unusual action followed the death of more than 1,100 people in the collapse of a factory in Bangladesh.

 

"The government of Bangladesh did the responsible thing last week by closing factories believed to be dangerous," Rajan Kamalanathan, Walmart vice president of ethical sourcing, said in a statement.

Walmart said that it had stopped production at Stitch Tone Apparels factory because it had discovered that a neighboring factory had structural problems.

It also said inspectors who had been contracted by Walmart had reported a potentially dangerous condition at another one of the factories Walmart uses, Liz Apparels factory. The inspectors notified the government, the factory owner and other companies that contract with the facility.

Walmart called on other companies to halt their production in these facilities.

Kamalanathan said Walmart was calling on the Bangladesh government "to show the same leadership in the Stitch Tone Apparels and Liz Apparels cases, and take any actions necessary to ensure safe conditions."

(Reporting by Jennifer Saba in New York; Editing by Toni Reinhold)