"More than 500 workers suspended at a textile factory in San Juan: Seeking to avoid layoffs due to the drop in activity", 10 June 2025

Strong concern arose in San Juan after the decision of the Vicunha textile factory to temporarily suspend more than 500 workers. The measure, which will run from June 16 to 22, was confirmed by Roberto Vega, secretary of the Textile Workers Association (AOT)...

“Since there are no orders and nothing is being sold, according to what the management has told us, these suspensions are being carried out by reaching an agreement with the workers so they don't lose,” explained Vega, who emphasized that the stoppage is due to an accumulated overstock at the plant and the sustained drop in sales over the past few months.

The agreement reached between the union and the company provides for a 25% salary reduction for the suspended employees, which represents a loss of between $15,000 and $20,000, depending on the category. However, the union clarified that the measure is temporary and will be constantly reviewed.

“The suspension is for one week because the situation is being evaluated daily. Even if a large order comes in within that week, the measure is lifted and the workers return to their jobs,” the union leader indicated.

Vega clarified that the suspension does not affect the entire plant. “...The measure only applies to those sectors where the presence of all workers is not required,” he explained...

...the AOT secretary explained that while the opening of imports has generated uncertainty in the sector, the main problem today is low demand...

Finally, the union leader called for responsibility among businesses: “What we have to address here is the issue of competition. We are aware of the prices and we hope that businesses will adapt and lend a hand,” Vega concluded...

[Translation via Google Translate]