Social unrest is usually a result of the political or economic demands of the people not being met. Protests, demonstrations, picketing, and collective petitioning have become increasingly common in Tamil Nadu’s industries. As Tamil Nadu's economy has grown during the last decade, the quality of living standards for many of its residents has improved. Simultaneously, social protests have increased considerably. This paper shows that Tamil Nadu had highest number of closed units in 2000-01 and 2018-19. The closed unit in Tamil Nadu has been increasing sharply after 2013- 14 and reached at highest level in 2018-19. It is evident that the concentration of closed units lies in 0-10 worker size and Micro enterprise. But there are also some closed units in the worker size of more than 51 workers and large enterprise which is a matter of concern for the government and policy makers. Further, panel regression shows that industrial disputes, closure of units and loss of mandays has negative impact on net value added and each of the three factors are statistically significant.