The company begins its operations in Central America by opening its manufacturing plant.
The factory will employ about 175 people in production and processing of multi-filament polyester, nylon textured yarns and related raw materials.
"Industry sources indicated that the manufacturing plant, Unifi Central America Ltd., will have eight texturing and 27 winding machines increasing the company´s capacity in the hemisphere," writes José Luis Henríquez on his article in Elsalvador.com.
Between June 2009 and July 2010, at least 13 projects in the textile industry were suspended because of insecurity problems and lack of competitiveness.
Companies from the Chamber of Textiles Industry, Confection and Free Zones (CAMTEX) reported uncertainty in legal areas and economy problems as additional reasons to suspend said projects.
"As for security, some $2.26 million have been spent in security measures and lost investment.
The proposal presented by the Textile Industry Chamber did not receive support from the Ministry for Employment.
The plan promoted by the industry is for a change in working hours from a three and half day week to eight hours daily.
"Patricia de Figueroa, the Chamber's executive director, stated that the plan did not receive the backing required from the Ministry for Employment, which described it as unconstitutional," reports Elsalvador.com.
Inflexible labor legislation is making the textile industry less competitive.
Markets such as Honduras and the Dominican Republic have already had 12-hour working days approved and as a result have seen export orders increase. This in turn has meant more jobs - 10,000 new positions reported in Honduras in August.
"The loss of contracts is the concern of Edwin Zamora, president of El Salvador's association of textile and apparel manufacturers (Camtex), who has reiterated his call to the government for a longer working day of 11 or 12 hours in order to be able to accept orders still arriving from the USA," reports Elsalvador.com.
After 16 years of operating in the country, the multinational corporation inaugurated its sixth facility, called “El Salvador Sew”.
Located in San Juan Opico, the company’s new facilities are capable of outputting 60.000 dozen sports outfits a month. Its production will be entirely shipped to the United States.
“El Salvador Sew will employ 1.300 people by the end of the year.