The sudden closure of a well-known textile outlet on S.M. Street here has irked trade unions, as its owner has allegedly failed to settle the dues of a few staffers.
It came as a rude shock when employees were informed that the outlet owner had decided to close it down. Subsequently, they staged a sit-in in front of the outlet, demanding that their dues be cleared.
“Such instances have become common on the pretext of COVID-induced crisis. Several managements have shut down outlets to avoid loan sharks or wholesale suppliers whose dues are to be cleared. It is easier for managements to get rid of employees without settling their dues,” said P. Viji, State secretary of Asanghatitha Meghala Thozhilali Union.
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A popular textile outlet near the mofussil bus stand was closed down three months ago by its owner who claimed that he was bankrupt. Though he sought time from employees to clear their dues, he failed to keep his word. Subsequently, they lodged a complaint with the District Labour Office.
“Labour department officials are with the managements. They ask us to move court. Is it necessary to go to court in all such cases? Then what is the department for?” Ms. Viji asked.
In the recent instance, five employees of the textile shop have been left in the lurch. They claimed that the management had settled the dues of all its permanent employees, and that they had been abandoned.
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Meanwhile, the management has invited trade unions for a meeting on Monday.