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The Boston Globe

Business

After factory fire, Walmart tightens its rules

Say suppliers’ subcontractors need approval

BENTONVILLE, Ark. — Walmart Stores Inc. has alerted its global suppliers that it will immediately drop them if they subcontract their work to factories that have not been authorized by the discounter.

Walmart’s stricter contracting rule, along with other changes to its policy, comes amid calls for better safety oversight after a deadly fire at a Bangladesh factory that supplied clothing to Walmart and other retailers. The November fire killed 112 workers at a factory owned by Tazreen Fashions Ltd. Walmart has said the factory was not authorized to make its clothes.

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