The company, which had announced a temporary closing for a couple of weeks, requested a temporary closing of 14 months from the Ministry of Labor.
The Elnuevodiario.com.ni website published: "The board of directors of Cone Denim Nicaragua, located in Ciudad Sandino, confirmed the information through a press release in which they explained that the decision to close operations in the country was made due to the global economic crisis and the slowdown in the supply chain."
Source: elnuevodiario.com.ni
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April 2009
Yu Jin is the second textile company closing during the course of 2009 in Nicaragua, leaving at least 500 people unemployed.
Cone Denim textile from the US was the first textile company to formalize its closing when it requested a temporary, 14-month closing at the end of March due to the suspension of orders from United States. The closing sent 800 people to the ranks of the unemployed.
March 2009
The US textile company, Cone Denim, temporarily closed its 850-employee plant in Nicaragua.
The denim manufacturing plant, International Textile Group, was inaugurated in the middle of last year with an investment of $100 million.
Alvaro Baltodano, president of the Free Trade Zones Corporation of Nicaragua, in an article in Prensalibre.com, said that "Code Denim executives stated that it was a ‘temporary closure’ and that it will resume its operations in 'a few weeks.’"
March 2009
Due to lack of orders from the US, the company shut down operations, laying-off 500 employees.
The company which is located in the Zip San Jose Industrial Park had laid-off 1,500 workers in 2008 as a product of the US economic crisis.
According to what LaPrensa.hn reported, the picture is not encouraging for the maquila sector in Honduras: "So far in 2009, about 8 thousand maquila workers have been laid off and 1,547 temporarily suspended. Some eight maquilas on the north coast shut down operations and between January 1 and March 6, 11 other industries of this type requested a temporary suspension of their workers. It is estimated that around 300 companies will close in 2009."
April 2009
The closing of the Fusion S.A. maquila located in the Tipitapa zone is the third one in a month.
The company requested the Ministry of Labor for a temporary, 30-day closing. It originally operated with 400 employees and had already reduced its staff to 137.
Rafael Lara reported statements from Alberto Carlos Guadamuz, attorney for the Nicaraguan Center for Human Rights, CENIDH, to Elnuevodiario.com.ni: "The workers noted that they were earning a monthly salary of 4 thousand Cordobas in normal times. However, in recent months, they were only getting 2,150 Cordobas due to the drop in productivity, and it was not enough for family survival."
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