While the controversial closure of the NEXT apparel manufacturing factory continues without proper resolution, trade unions raised concerns about the contradiction between the reasons for closure presented by the factory management to the employees and the Commissioner General of Labour.

The Free Trade Zones and General Services Employees' Union (FTZGSEU) stated that this contradiction in reasons has left the employees confused, indicating that there are no clear or consistent factors for the closure.

Speaking to The Daily Morning yesterday (8), the General Secretary of the Union, Anton Marcus, said that the factory management informed employees that the closure was due to rising manufacturing costs. However, the Labour Commissioner General was told that the number of employees must be reduced due to a decline in orders. He further noted that such conflicting explanations cannot be considered either valid or lawful.

He also said that some employees have accepted the compensation offered by the factory management, while others still refuse to accept the offer. Therefore, he mentioned that the inquiry into the termination of employment will continue for those who have not accepted the compensation. He also stated that some sections of the company are still operating, so technically, the company has not been fully closed.

The factory in question has been operating since 1978. It was a British investment project, producing garments mainly for export to England. According to a document issued to employees by the factory’s administration, the decision to shut down was due to rising production costs in Sri Lanka, which the company stated had become unsustainable.