Textile firms struggle to stay afloat as employment plummets

ISTANBUL

Türkiye’s textile and apparel industry is facing one of its most severe employment challenges in recent years, driven by a sharp decline in global demand and a wave of factory closures.

According to Rafi Ay, president of the labour union Öz-İplik İş, nearly 2,960 businesses have shut down in the past year alone, leaving 67,528 workers unemployed.

The sector has entered what Ay describes as “a dangerously unstable phase.”

Ay revealed that the cumulative impact since 2022 has been staggering, with 7,805 businesses closed and 315,107 jobs lost.

The number of active workers in the sector has dropped from 1.3 million in 2022 to just 990,000 today, according to the union leader.

“We are losing production tools, factories, and machinery,” he said, calling for urgent action.

“If we’re all on the same ship, then come down to the workers’ deck,” Ay said.

He also highlighted the shift of domestic factories abroad, which has led to a 10 percent drop in ready-to-wear exports and a 55.4 percent increase in imports between 2022 and 2024.

In the first five months of this year alone, the sector contributed $776 million to Türkiye’s current account deficit, according to Ay.