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Web Exclusive | May 2018

TN mills bid to tide over labour crisis

Textile firms in South India are experiencing severe shortage of labour and are now scouting for labour in the

North-Eastern States. According to sources, there has been a good response from the Tripura government, there

is likely to be a code of conduct for migrant workers.

Tamil Nadu accounts for nearly 45 per cent of the spinning capacity in the country, 70 per cent of the knitted

garment manufacturing capacity and 22 per cent of weaving. Around six million people are directly employed by

the sector. The sector has been facing labour shortage the past ten years or so, due to tremendous boost in

manufacturing facilities. In major clusters like Coimbatore, Tirupur, Dindigul, migrant workers account for

anything between 30 per cent and 90 per cent of the workforce, depending on the mills.

According to P Nataraj, Chairman, SIMA, with the increase in demand for migrant workers across the nation, the

mills started facing high attrition. SIMA has started direct recruitment on its formal placement cell for its

members, and initially is sourcing human resources from Tripura.

Nataraj added that the mills face numerous problems in sourcing, mobilising, recruiting and retaining migrant

workers for a reasonable period. In order to overcome these issues, SIMA had written to the Labour and

Employment Departments of various states upcountry including the North Eastern States. The Government of

Tripura immediately responded and came forward to extend all support for recruitment and organised an exclusive

Job Fair with SIMA.
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