Tommy Hilfiger caves on factory labor conditions ahead of ABC report

Parent company PVH will commit $1 million to improve standards in Bangladesh factories after dozens of workers died.

Before ABC even aired its report on Tommy Hilfiger's continuing operations at a Bangladeshi factory where 29 workers died in a fire last year after being trapped without fire escapes or sprinklers, Hilfiger has struck a deal.

Meanwhile Bangladesh has positioned itself as a cheaper alternative to China for companies' manufacturing needs, in large part by maintaining the lowest garment worker wages in the world. As the New York Times reported, all it takes is a bump in worker wages for apparel companies to take their business elsewhere — like Vietnam.