Plasco, Iran’s first high-rise, falls down

Since the Plasco Fire Tragedy, which caused the first skyscraper of Iran to completely collapse last Thursday, the Government is designing different plans to protect the business owners and employees.

Ministry of Industry, Mine and Trade, assures that the workers of Plasco Building will receive unemployment benefits.

“Almost 2200 workers were employed in various shops and workshops in Plasco; adding the shop owners, almost 3000 people qualify for unemployment benefits. We estimate 1 billion IRR (about $30K) in loans to be paid to them”, said Mohammad Reza Nematzadeh, Minister of Industry, Mining and Trade, three days after the Plasco Tragedy.

“In addition, a number of commercial units which were active in the Plasco Building have outstanding debt. We are preparing a proposal for the Government to delay or pardon at least part of their debts”, continued Mr Nematzadeh.

According to The Head of Iran Chamber of Guilds, Ali Fazeli, with the destruction of this building, 15 billion IRR ($460m) in current and fixed assets were destroyed from the 580 commercial units in Plasco Building.

“A large portion of the tradespeople were involved in the manufacture and sales of shirts and 99% of the units were used as distribution centers. An additional 180 units were involved in the manufacture and sales of other items”, said Mr Fazeli.

In Plasco Building 400 shirt makers, 6 jersey and knitwear makers, 8 tailors and 20 cobblers were active. The ministry of Finance has also tasked the Taxation Organization to make haste in affording tax breaks to the tradesmen working in Plasco.

Plasco building was opened in 15 floors in 1962 and was the first modern high-rise building in Tehran. The building caught fire at 8 a.m. on the 19th of January and completely collapsed at 11:30 a.m.

About 30 firefighters were trapped in the building and some 25 other citizens have been reported by their families to be missing. Due to fire for more than five days after the collapse, not more than four bodies were found from debris.