Keya Group Shuts Down 7 Factories, Leaving 10,000 Jobless

Economic Desk

Keya Group has announced the permanent closure of two additional factories in Gazipur’s Konabari Jarun area, following the earlier shutdown of five factories. The closures have been attributed to market instability, irregularities in banking accounts, raw material shortages, and insufficient production output.

Apart from its cosmetics unit, the remaining factories of Keya Group will cease operations, leaving approximately 10,000 workers and employees jobless by May.

A notice signed by the company’s director, managing director, and chairman of Keya Cosmetics Limited (Knit Composite Division) was posted at the main gate of the factories. It confirmed that operations in the dyeing and utility divisions of Kea Cosmetics Limited (Knit Composite Division) in Jarun, Konabari, Gazipur, will permanently stop from May 20.

The notice assured that all dues of workers and employees will be settled within 30 days of closure in compliance with the Bangladesh Labor Act.

Following the announcement, over 700 workers, many of whom are hearing- and speech-impaired, staged protests at the main gate, demanding the reopening of the factories. They also collected signatures on a petition and later gathered near Saju Market in front of Keya Group, reiterating their demands.

On December 31, the group had previously declared the permanent closure of its Knit Composite Garments Division, Knitting Division, Spinning Division, Cotton Division, and Keya Yarn Mills Limited, effective May 1, citing similar reasons.

Keya Group’s HR Manager, Sabina Yasmin, stated that the closures were due to banking complications and the inability to process LCs (letters of credit). Group Chairman Abdul Khaleque Pathan expressed hope that the factories might reopen if the banking issues are resolved.

Keya Group currently employs around 10,000 workers, including approximately 1,000 visually and hearing-impaired individuals.