ABSTRACT
On April 24, 2013, the catastrophic collapse of the Rana Plaza building on the outskirts of Dhaka, Bangladesh, killed more than 1,100 garment workers who had been producing apparel for some of the world's largest retailers. 1 The deadliest disaster in the history of the garment industry triggered a chain of actions that may result in a major shift in corporate liability in terms of global supply chain safety. Up until today, retailers would be using factor)' inspections and audits to claim their global supply chains are safe and in line with their business codes. From now on, where their contractors have factories, retailers may also become accountable for building safety. The world's largest apparel companies, including H&M (Hennes & Mauritz), Marks & Spencer, Inditex (the parent of Zara), and others, have already signed a far-reaching and legally-binding safety agreement. The plan requires retailers to have rigorous independent inspections and to help pay for fire safety upgrades and some other building improvements. While global climate change, local air and water pollution, child labor, and workers' rights, remain among the key challenges that face corporate executives on a daily basis, the scope of corporate responsibility is changing.
