Factories feel labour shortage heat

Exporters report manpower non-availability over LPG crisis, fear it may affect productivity

- PUSHPITA DEY & SANAL SUDEVAN

THE sight of migrant workers huddling together at railway stations, looking for an urgent escape to the safety of their hometowns, is reminiscent of the unfortunate days of the Covid lockdown. The script appears to be playing out once again, albeit in a less visible manner.

The migration of workers — triggered by fears of an imminent shortage of cooking gas due to the Iran war, as well as high US tariffs — has begun to impact industries. TNIE spoke to industry leaders and businesses based in industrial clusters such as Chennai, Coimbatore and Amritsar, and sensed palpable concern among manufacturers and exporters over a potential shortage of workers.

Exporters in labour-intensive sectors such as textiles, engineering goods and hand tools have reported a severe labour shortage. Industry players have flagged the issue and are seeking government intervention to improve living conditions and introduce measures to retain workers and minimise reverse migration.

“This year, reverse migration has increased significantly. We have been struggling with this trend for the past few years. Of the workers who went home during Holi, around 12-18% have not returned,” said Deepak Dumra, director at Eveline, a textile manufacturer and supplier to brands such as Van Heusen and Guess.