NEXT Factory Division Closure Tied to Unique Union Deal

Industries Minister Sunil Handunetti said the closure of the sewing division at NEXT Manufacturing’s Katunayake plant is linked to a unique collective agreement with a union, not seen in other apparel factories.

Addressing Parliament, he clarified the entire apparel sector isn’t at risk and that the division was shut due to lack of profitability. Handunetti emphasized that the company hadn’t consulted the government or sought prior approvals regarding the closure

. He pledged to follow up with the Labour Ministry and the BOI on procedures and compensation. Other NEXT factories outside the zone remain operational.

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