DIRD Group shuts off its washing plant, 300 employees laid off

The authorities of DIRD Group have announced the closure of Dird Washing Plant in Savar on 19 October, citing a lack of purchase orders as the reason.

This decision impacts approximately 300 employees.

The official notice stated, "Dird Washing Ltd notifies all employees that due to the absence of orders or procurement instructions in the factory, it will remain closed from Saturday, 21 October 2023, in compliance with Section 12(1) of the Bangladesh Labor Act 2006. Further discussions will be held with the workers to address the closure-related matters." 

Jahangir Hossain, a worker of the factory, said, "Although the notice was dated 19 October, we learned about it this morning when we arrived at the factory gate."

Swapan Kumar, another worker at the washing plant, shared, "Workers have been working in the factory until Thursday. We found the closure notice at the factory gate this morning."

A mid-level employee, who chose to remain anonymous, lamented, "The mid-level workers of the factory have unpaid salaries pending for 5 to 11 months. The workers are also awaiting their dues for the past month. In this situation, the management declared the factory closure without any prior notice or clearing of the dues."

Rafiqul Islam Sujon, the president of the Bangladesh Garment and Industrial Workers Federation, said, "The abrupt shutdown has left the factory workers jobless all of a sudden. We strongly urge the immediate reopening of the factory. Otherwise, the authorities need to settle the outstanding dues of the workers."

Wishing anonymity, a top official of DIRD Group told The Business Standard that the group has decided to close all their units situated in Savar and Ashulia due to sustained long-term losses.

DIRD Washing was the final unit to cease operations, where about 214 workers were employed, he said, adding that all the workers were laid off in compliance with Labour Law. 

"The decision was reached following discussions with workers' rights organisations and Bangladesh Garment Manufacturers and Exporters Association (BGMEA)," he said.

The official also assured that all workers would receive their entitled benefits in accordance with the Labour Law. 

Previously, due to unpaid salaries, a group of dissatisfied workers from Dird Garments Ltd, Dipta Garments Ltd in Savar had staged unrest. Consequently, Dipta Apparels Ltd was closed permanently on 20 September.