- Mentions issues faced by FTZs’ garment factories, to intervene to provide Govt. support including coordinating with authorities like the BOI
The Ministry of Labour yesterday (26) stated that any business, including garment factories, facing issues such as financial difficulties, is welcome to directly discuss their concerns with the Ministry so that necessary interventions can be made through the relevant institutions.
Speaking to The Daily Morning about the recent closure of the Next Manufacturing Limited garment factory in the Katunayake Free Trade Zone (FTZ), Deputy Minister of Labour Mahinda Jayasinghe said that the Government had not been approached by the company beforehand.
“If they had spoken to us about the problems that they were facing, we would have looked into what support we could have provided as a Government,” he said.
He also urged that any business or stakeholder facing similar challenges can visit or contact the Labour Ministry directly. “We’re open to discussion. If there is a risk of having to shut down their operations or any other problem, you can come and speak to us or any relevant institution. We can coordinate with the necessary authorities, like the Board of Investment (BOI),” he said.
Early last month (May), the Next Manufacturing Ltd., a fully owned subsidiary of the United Kingdom-based retail chain Next, shut down its Katunayake factory without prior notice. Nearly 2,000 employees were informed via WhatsApp messages after the factory had already been sealed. The company later cited high production costs in the FTZ as the reason for the closure.