Inditex Group, parent of global superbrand Zara, was in damage control after damning television footage revealed staff in a Brazilian supplier’s factory were being treated as slave labour.

Inditex appeared not to dispute the findings of a raid by government officials accompanied by a BBC television crew who found 15 people in Sao Paulo were working in dangerous, unsanitary conditions, paid as little as five Australian cents per garment made for supply to Zara stores.

In a statement Inditex said it had “zero tolerance” for such conditions and acted quickly to repair the damage to its reputation and the people directly affected.

“The supplier has accepted full responsibility and is paying financial compensation to the workers as required by Brazilian law and the Inditex Code of Conduct,” Inditex said.

And the company said it would strengthen its oversight of supplier conduct to ensure the problem did not recur.

In the raid, Bolivian workers were found working illegally in a room where electrical cabling was dangling from the ceiling close to piles of fabric.

But the supplier appears to have a second chance with Inditex saying it would monitor improvements promised by the subcontractor to bring conditions into line with Inditex’s code of compliance.

According to the BBC, Inditex has about 50 suppliers in Brazil, employing more than 7000 workers.