GWU to devise strategy combating lay-offs

The general secretary of the General Workers' Union, Tony Zarb said yesterday the government should at all costs refrain from imposing more financial burdens on industry in the forthcoming budget.

Piling more burdens on industry would endanger jobs at a time characterised by lay-offs, Mr Zarb said.

Addressing a news conference in front of the Ministry for Social Policy, in Valletta, he claimed the government had not been aware of the 117 layoffs from the German company WET Automotive Systems AG on Tuesday.

Calling on the government not to remain passive in the light of these job losses, Mr Zarb noted that the union would be convening its national council on Monday afternoon to see what strategy it would adopt against the wave of lay-offs.

The union had repeatedly "sent messages" to the government about the threat to jobs that a number of workers were facing but the government did not seem to be affected by the alarming situation.

On Tuesday, WET Automotive Systems AG said it was closing down in Malta after 17 years because production costs here were the highest in the group notwithstanding all the measures taken to be cost-effective.

The local production activities are now being transferred to other foreign, low-cost manufacturing plants.

The company said the Malta plant was the most efficient and leanest of the group with the highest quality standards. But manufacturing costs had made the plant uncompetitive.