2.500 workers dismissed at Lithe Group, Bangladesh - 2026
In July 2026, the Bangladesh-based garment manufacturer Lithe Group (written as: Lithi Group in the newspaper source) announced the indefinite closure of five factories in Gazipur, leaving approximately 2,500 workers unemployed. The affected facilities were Apparel-21 Ltd., Famkam Fashion Ltd., Famkam Dyeing Ltd., Famkam Printing Ltd., and Famkam Knitting Ltd. (Famkam written each time as „Famcom“ in the newspaper source). Famkam Fashion might be a new name for Apparel-21, according to Lithe Groups website. Except for Famkam Fashion each of these factories has an entry in the Open Supply Hub. According to the company, the decision was driven by severe financial difficulties resulting from a combination of factors, including disruptions in gas supply, declining purchase orders, uncertainty regarding future orders, labour unrest in recent years, falling international prices for garment products, and insufficient financial support from banks. The factory closures have significant consequences for workers, many of whom had not yet received outstanding wages and other benefits at the time of the announcement. Company representatives stated that payment of wage arrears and other dues would be discussed with government authorities, factory management, and worker representatives. The company also indicated that former employees would receive priority consideration if production resumes in the future. The closures occurred against a backdrop of growing instability within Bangladesh’s ready-made garment sector. On June 24, 2026, workers of one of the affected factories, Famkam Fashion Ltd., had already protested the suspension of operations and delayed wage payments by forming a human chain along the Dhaka–Mymensingh Highway in Bagher Bazar, arguing that prolonged closure and unpaid salaries had caused severe financial hardship for workers and their families. Protests continued on July 6, 2026. About 500 workers of Lithe Group demanded outstanding wages of 3 month as well as statutory benefits, according to The Financial Express. This incident raises concerns regarding workers’ rights, particularly the payment of outstanding wages and benefits during factory closures, and highlights the vulnerability of garment workers to economic downturns and shifts in global sourcing patterns. Several factories of Lithe Group have supplied to member(s) of the German „Dialogue and Impact for Sustainable Textiles“-Platform, to members of Fair Wear Foundation and to ZEEMAN, NEXT and Mango. The dismissals should therefore be taken into account in the due diligence processes of these actors.
Basic Information
Case ID: 2026.013
Identification Number from Open Supply Hub (OS-ID): BD20211542PQ45D
Affected Country: Bangladesh
Date of occurrence: 2026-07-01
Social Sector Risks concerned:
- Dismissals / factory closures
Supplier Details
Lithe Group
Shirirchala,Bagher Bazar,Gazipur Sadar Gazipur
Bangladesh
Supplier Website: https://www.lithegroup.com/
Production Site
Lithe / Apparel 21 / Famkam
Shirirchala,Bagher Bazar,Gazipur Sadar Gazipur -
Bangladesh
Total number of workers/employees:
4522
Number of male workers: 1997 Number of female workers: 2225
Workers movement
No information about unions available.
No information about workers commitee available.
Business Relations
Known Buyer/Brands:
- Mango Deutschland GmbH
- Next Germany GmbH
- Zeeman TextielSupers GmbH
Source of information buyers:
https://opensupplyhub.org/production-locations/BD20211542PQ45D
Follow up
Sources
Name of reporting organisation: The Dhaka Tribune, The Financial Express
Source of information about the case:
Contributor: SÜDWIND
- Last updated on .