
Sri Lanka’s garment industry is facing a deepening crisis, with over 1,400 workers from the closed NEXT apparel factory in the Katunayake Free Trade Zone now left without jobs and little hope of re-employment. The Free Trade Zones and General Employees Union has sounded the alarm, accusing the government of lacking both a plan and political will to protect workers and stabilize the ailing industry.
Anton Marcus, the union’s joint secretary, warned that the collapse of the Katunayake facility is just the tip of the iceberg. “There are no jobs for them elsewhere. The entire garment sector is drying up. Orders are down, and vacancies have vanished. In fact, even workers with less than six months’ experience are being laid off in other factories,” he said.
The union has called out the stark contrast between Sri Lanka’s inaction and the proactive strategies of regional competitors like India and Bangladesh, which are securing free trade agreements to safeguard exports and sustain their manufacturing bases. “Other countries are making deals. We’re making excuses,” Marcus lamented.
According to Marcus, the failure lies squarely at the feet of the government, which he accuses of failing to consult experts or stakeholders on how to confront the challenges facing the garment sector. “No one from the ministry is even talking to the people who understand the ground reality. No strategies. No discussions. Just silence,” he said.
He also criticized Deputy Labour Minister Mahinda Jayasinghe, who, despite meeting with the union on May 21 and promising dialogue, has yet to follow through. “We were promised a discussion. But there has been no invitation, no meeting nothing. The government is treating this like just another news item,” Marcus charged.
In Parliament, Deputy Minister Jayasinghe did acknowledge that 1,416 workers from the factory out of 2,825 total employees—had lost their jobs, but claimed that the matter was under discussion with the Labour Commissioner and steps were being taken to resolve it.
But the union isn’t convinced. They warn that unless the government takes decisive action—such as initiating sectoral recovery talks, supporting displaced workers, and aggressively seeking trade agreements—the collapse of NEXT may become a grim template for more closures to come.
“This isn’t just a factory closure. It’s a national wake-up call,” Marcus declared. “And the government is still asleep.”