COVID-19: Textile sector may see 1 cr job loss - CMAI
The COVID-19 crisis has impacted all the sectors in some way or the other. The crisis has not impacted all the sectors equally but some of them are going through a rough phase. Textile, manufacturing, Tourism are some of the worst affected sectors of this pandemic.
According to a media report, there could be as many as one crore job cuts in the textiles sector, which has been severely hit by the ongoing lockdown, if there is no support and revival package from the government, according to apparel industry body Clothing Manufacturers Association of India (CMAI).
With around 80 per cent of the garment industry mostly micro, small and medium enterprises, CMAI, which has around 3,700 members employing around 7 lakh people, said most of its members do not have the kind of reserves to see them through 3-6 months of this magnitude.
“We have estimated that if no assistance comes from the government, either in terms of wage subsidy or revival package, there could be loss of almost a crore of jobs in the entire textile chains," said CMAI Chief Mentor.
The Clothing Manufacturers Association of India (CMAI) is the representative association of the Indian apparel industry for over four decades. It has a membership base of over 20,000 companies, including Readymade Garment Manufacturers, Exporters, Retailers and Ancillary Industry.
There is no doubt that COVID-19 has impacted the world economy badly, brought many businesses to a halt and left employees in a state of flux. As three billion people get placed under a lockdown, governments across the globe are not leaving any stone unturned to manage the situation with relief packages, compensations and schemes. Indian government is providing financial aid to the workers and daily wagers to uplift their current condition. But with Lockdown 2.0 likely to come into the picture it may push the industry back further.