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Rediff News  All News  » Business » 2 lakh textile workers laid off in 10 years

2 lakh textile workers laid off in 10 years

August 02, 2006 16:00 IST
More than two lakh workers have been affected with the closure of 379 sick textile mills during the past decade, the Lok Sabha was informed on Wednesday.

There were 2,11,108 workers on the rolls of 379 private, non-SSI textile mills that have been closed between 1996-97 to 2005-06, Minister of State for Textiles E V K S Elangovan said.

Tamil Nadu has seen the largest number of 106 mills being closed, followed by 48 in Maharashtra, 46 in Gujarat and 31 in Andhra Pradesh. This affected 23,141 workers in Tamil Nadu, 43,049 workers in Maharashtra, 36,858 workers in Gujarat and 10,499 workers in Andhra Pradesh.

Elangovan said the government has provided a relief of more than Rs 100 crore (Rs 1 billion) to textile workers under the Textile Workers Rehabilitation Fund Scheme during the same period.

The scheme provides relief to textile workers, provided they meet the eligibility criteria of five years continuous service before closure of mill and drawing wages of up to Rs 3,500 per month, he said.

On the funds generated through the sale of land and assets of closed mills of National Textile Corporation, he said these funds were being utilised for reviving and modernising viable units, repayment of debt and payment to workers under voluntary retirement scheme.

Replying to another query, he said the National Textile Policy of the government has envisaged achieving $50 billion of textile and clothing exports by 2010. However, a study by CRISIL in 2004 for Indian Cotton Mills Federation has estimated that the country's textile and clothing exports could reach $40 billion by 2010, he added.

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