Several textile mills in the region have given more than a day holiday for Deepavali this year as market is low for yarn and power cuts have increased.
Several mills in Salem region have given two to five days holiday for the festival.
In Dindigul area, it is two or three days. According to Southern India Mills' Association sources, the mills are facing seven hours power cut every day.
If the market had been good for yarn, the mills would have operated with generator.
However, most of the mills are operating just two shifts now because of low demand for yarn.
Some units have organised tours to places such as Aliyar, Udhagamandalam and Kodaikanal for two days for the workers who have not gone home for Deepavali.
The management organised vehicles and made other arrangements for the workers. They also held special programmes at the units.
According to President of South India Spinners Association S.V. Devarajan, the labourers usually returned to work only a week after Deepavali.
The mills used to organise vehicles or make arrangements for their return.
However, the small-scale mills are operating just one shift now and production has come down drastically.
The North Indian States are also facing power cuts and hence, the powerloom hubs have slowed down production thus reducing the demand for yarn.
This year, the mills are not too keen to resume full production immediately.
Even if they produced yarn now, the units will incur Rs. 10 loss for every kg of yarn. Earlier, the mills feared if the workers will not return or will go to other units for work.
This year, many have almost stopped recruitment. Hence, they will wait for the workers to return to the units after the festival and resume production slowly, he said.