
After the week-long sit-in protest conducted by the garment workers in the Avadi area of Tiruvallur district of Chennai, the workers have finally reached a settlement with the company, Celebrity Fashions Limited over their sudden closure due to decrease in production and financial losses.
The conflict started on 7th June when the business told its workers that the Avadi plant will close by 30th June due to production declines and financial difficulties. Employees were given the option to leave or move to Celebrity Fashions’ other location, in Tambaram’s Madras Export Processing Zone (MEPZ). At present, the company arranges vans to pick up the women from 32 points which the company has said it will continue to provide to the workers that move to the other facility.
Apart from three-months salary, the workers also demanded earned leave and applicable bonus. With the case filed by GAFWU as per the section of 2(k) of the Industrial Disputes Act, which covers the dispute between employers and employees, the company reached a settlement with the workers, after multiple rounds of talks.
According to the settlement, the company is liable to pay 45 days’ salary to the workers, who have completed three years at the company. This settlement will have to be paid by 30th July. In addition to this, the company also has to pay 15 days’ salary to workers, who have worked for at least one year and 10 days’ salary to workers with six months into the company, by 10th July. Further, the company will also have to pay the full salary for June, earned leaves, and bonus by 7th July.