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Victoria's Secret agrees to finance $8.3 million settlement for laid-off Thai workers

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BANGKOK : Thai workers who were sacked last year from a factory supplying global lingerie brands including Victoria's Secret will receive $8.3 million, in what labour activists say is the biggest settlement of its kind in the global garment industry.About 1,200 workers were laid off without severance pay

BANGKOK : Thai workers who were sacked last year from a factory supplying global lingerie brands including Victoria's Secret will receive $8.3 million, in what labour activists say is the biggest settlement of its kind in the global garment industry.

The incident was one of"hundreds of cases of wage theft" that labour activists say took place in the garment industry during the COVID-19 pandemic. The settlement, financed by Victoria's Secret in a loan arrangement with BAT's owner, could set a precedent for global brands to better protect the rights of workers in their supply chains, according to Scott Nova, Executive Director of the Worker Rights Consortium, an international labour advocacy group.

More than a year after BAT and its Hong Kong-based owner Clover Group refused to pay the laid-off Thai workers, Victoria's Secret & Co said this week in an emailed statement. It will extend a loan to the owners of Clover to finance the settlement.

 

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