Karnataka, a leading apparel manufacturing state with hubs like Bengaluru, has witnessed closure of over 180 apparel factories between 2019 and 2021 –consequently causing loss of jobs for about 32,500 workers.
As per the data of the Department of Commerce, out of 32,500 jobless individuals, 66 per cent are women.
The trade unions of the apparel industry believe that these numbers are hugely underestimated.
Pratibha R., President, The Garment and Textile Workers’ Union (GATWU) says that 4 lakh garment workers lost their jobs during the first two waves of Covid-19 in Karnataka alone, and a significant number of them did not receive rightful compensation or severance benefits.
“During mass layoffs, Indian supplier companies, who export readymade garments to international brands, claimed that due to order cancellations or non-payments by their customers, they were forced to remove workers and close factories. But we corresponded with the brands about non-payment, and most of them denied the allegations. Some said that contracts were only delayed, and not cancelled,” Rukhmini VP, President Garment Labour Union (GLU) told The Times of India, a leading English daily.
On the other side, factory owners are of a different view! Naseer Humayun, Regional Secretary of Clothing Manufacturers Association of India (CMAI), said the CMAI’s estimate is that apparel and textile exports fell from US $40.4 billion in 2018-19 to US $36.9 billion in 2019-20. There was a production shutdown for over 70 days during the pandemic-induced lockdowns, and order cancellations were also widespread during the pandemic.
At the same time, business is now improving so accordingly there must be new jobs for workers. Siva Ganapathi, CEO of Gokaldas Exports, said after demand started picking up in the US markets in 2021, retail sales figures were over those of 2019. European markets have been comparatively slow. Nevertheless, export houses have been doing well and are looking at hiring more workers now.
Source : https://in.apparelresources.com/