Apex Spinning closes Gazipur factory indefinitely as benefit dispute drags on

The company tells investors the factory has been shut from Jun 23

Apex Spinning and Knitting Mills Limited has declared an indefinite shutdown of its factory in Gazipur amid ongoing labour agitation demanding service benefits.

The capital market-listed company, a fully export-oriented knit fabric manufacturer, informed its investors about the closure on Wednesday through the Dhaka Stock Exchange (DSE).

The company disclosed that its board of directors enforced an indefinite layoff at the manufacturing unit in Kaliakoir from Jun 23.

The text to the bourse explained that the facility was closed down following unrest generated by workers demanding financial benefits outside the legal framework.

It noted that the shutdown directive applies to both officers and workers alike.

Apex Spinning and Knitting Mills said the shutdown would leave around 5,000 workers and employees out of work.

A section of the workforce had been campaigning for a service benefit package equivalent to seven months' basic wages after five years of service and 15 months' basic wages after 10 years.

Representatives from the Department of Labour, worker groups and factory management held talks on Jun 15 over the demands, but failed to reach a settlement.

The company most recently reported a net profit of Tk 30 million in 2025 and paid a 20 percent cash dividend to shareholders.