Companies suspended work days between April and May. Furthermore, there was no renewal of contracts. There has been a slow recovery in recent days.
Since March, the contraction of activity in the textile industry has deepened. This crisis, as defined in the sector at the national level, has had a widespread impact on all areas of the value chain: from the manufacture of yarns, fabrics, clothing and the marketing of machines, inputs and final goods. Furthermore, due to this context, employment was affected and plant closures or possible closures occurred due to high levels of idle capacity.
Tucumán has not escaped this scenario so far this year, especially between April and May. Local factories, located in the interior of the province, paralyzed or reduced production and suspensions of work days were recorded and labor contracts were not renewed. In the last 15 days, a minimal factory reactivation was perceived that relieved the chain based in the province.
In the case of TN&Platex, work was suspended in mid-April at the Hilados 1 plant in Las Piedritas. In the second half of May, the staff returned, although a part was redistributed to the Hilados 2 factory located in Los Gutiérrez, where the activity had been maintained.
The firm began to export to Brazil, which allowed the production level to be resumed, as well as some clients reappeared to make purchases. In any case, the Las Piedritas plant has operated at a slower pace.
In Tecotex, it was agreed with the unions to suspend the days between April and May. The measure lasted a few days, without reaching a total paralysis. According to official sources, however, production capacity had to be reduced.
Now, the staff works in three shifts and a slight improvement in factory activity is observed. Here, the decision was also made not to renew contracts, as happened in other plants.
In February, the Topper company, in Aguilares, had laid off 85 employees.
According to data from the Pro Tejer Foundation, which brings together the Argentine textile chain, activity fell by around 40%. “This is translating into layoffs and suspensions, something that is becoming exponential,” said the president of the Pro Tejer Foundation. Luciano Galfione.
A month ago, 1,000 dismissals had been registered, but that number tripled in the last 30 days: it rose to 3,000 layoffs and 8,500 suspensions in the textile area – not clothing -, according to references from national unions.
“Tucumán does not exceed what happens at the national level. Companies based in the North, which make up an important textile hub, are going through a complex situation. I would say that the most complex scenarios are in the Buenos Aires Metropolitan Area (AMBA), with a focus on the suburbs, and the NOA, which has a lot of textile presence. “They are the most affected conglomerates,” said Galfione.
“Our companies work strongly with the internal market, that is, consumption. When people do not have enough money, the first thing they restrict is the purchase of textile products in general, such as clothing,” he said.
The head of the Pro Tejer Foundation warned that “as long as the purchasing power of the population does not change, the sector will not see a recovery.”
“Added to this is the strong flexibility of imports. If there is any rebound in demand, which could happen months later, there is a high chance that it will be replaced by imports. Therefore, the national manufacturing sector will be affected by this situation. “This worries us a lot,” he warned.
In the first four months of 2024, 64% of the companies surveyed took measures that negatively affected employment: cancellation of overtime, layoffs, suspensions, early vacations and non-renewal of contracts, among others. 42% of companies indicated that employment fell when comparing April 2024 with December 2024, reflected the latest “March Situation Survey” by Pro Tejer.
