Sri Lanka: NEXT shuts down its only unionised garment factory - by WhatsApp
On 19 May 2025, only days after announcing over £1 billion in profit and approving shareholder dividends, NEXT shut down its only unionised factory in Sri Lanka by dismissing 1,416 workers by WhatsApp. The Katunayake factory was the only garment factory in the country with a Collective Bargaining Agreement -- a landmark victory for workers of the Free Trade Zones and General Services Employees Union (FTZ & GSEU). NEXT broke a Collective Bargaining Agreement as it did not consult FTZ & GSEU, and it did not obtain approval from Sri Lanka’s Labour Commissioner -- instead it misled workers into signing 'resignation' letters under fear of losing compensation. NEXT justified its actions by claiming unionised workers were 'too expensive' after winning a wage increase worth less than £10 a month -- even as it reported record profits and approved multimillion-pound executive bonuses. NEXT must reverse the closure, reinstate all workers under their existing terms, and honour its commitments to trade union recognition and collective bargaining.
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