Italian brand Benetton pledges to compensate victims of 2013 Bangladesh factory collapse

Italian apparel company Benetton says it plans to offer financial compensation for the 2013 garment factory collapse in Bangladesh that killed 1,127 people, the worst tragedy to strike the global garment industry.

Benetton said in a statement Friday that it will contribute to a fund established in early 2014 for victims. The company said the amount to be contributed will be determined by an unidentified, independent third party and will be disclosed once the figure is determined.

Unions campaigning on behalf of the victims of the 2013 Rana Plaza building collapse called for Benetton to make a "significant contribution" noting that the brand sourced from the building where the collapse occurred.

They also urged caution, noting that Benetton had backed out of a U.N.-backed trust fund for the victims.