Star Knitwear Faces Uncertain Future After 483 Job Losses

Star Knitwear’s future remains unclear as the company is under judicial administration. Since early June, 483 current and former employees—both Mauritian and foreign—have been left in limbo. The factory was placed under this legal process in an effort to find a solution for workers and their families who depend on the business.

A meeting was scheduled in Ébène between the Confederation of Private Sector Workers (CTSP), representing the employees, some union delegates, and the Receiver Manager, Huns Biltoo.

However, Biltoo was unavailable for comment, and CTSP President Reeaz Chutoo could not be reached.

Former employees report their situation has worsened since the factory’s financial troubles led to its placement under judicial administration.

One worker, who requested anonymity, said, “I worked here for over 30 years and supported my family with my salary.

Now, I have no pay, and I rely on my pension to survive. I don’t even know if I will get my lump sum.” Many others—young workers, widows, parents—are waiting for a resolution.

The factory’s debts exceed one billion rupees, owed to the Mauritius Investment Corporation and other lenders.

Its financial difficulties have caused it to fall behind on bills, including electricity payments.

As a result, the plant has been disconnected from power, forcing foreign workers to live without electricity.

Workers’ rights groups and the government strongly criticize the management’s handling of the situation.

Work Minister Reza Uteem condemned the conditions, saying:

“It’s unacceptable that workers are living like this in 2025. The responsibility lies entirely with the company’s management. Their actions are unforgivable.”

With a Receiver Manager now appointed, the minister emphasized that it is his duty to handle responsibilities such as ensuring workers’ housing and food provisions.

The Minister of Energy, Patrick Assirvaden, has also been involved in discussions to restore electricity to the dormitories.

There are reports that two local textile companies, or perhaps a former leader of Star Knitwear, may take over the business.

Meanwhile, efforts to help employees find new jobs included a job fair, but few workers secured new employment, leaving many unemployed.

To ensure workers receive the compensation they are owed, multiple meetings have been held involving the Ministry of Labour, the union, Star Knitwear representatives, and government officials.

Because no concrete solution has been found, the company has been placed under judicial administration for the second time.

The first occurrence was in 2015, when an South African investor took over the factory.

Source: l’Express