Woodware Ltd, a chair manufacturer and exporter, yesterday laid off 30 of its 40 employees after the company lost its biggest UK client.

The employees were told the production would now have to be cut by more than 70 per cent.

The company, which operates from a 5,000-square metre factory in the Marsa industrial estate, is the fifth local firm to announce it has been forced to cut production in recent months, as the global economic downturn continues to bite. Yesterday, Britain was officially declared to be in recession.

On Wednesday, employees of Stainless Steel Products Limited were put on a four-day week for the next seven weeks.

Meanwhile, Toly Products laid off 84 workers in October, while Methode Electronics and Hectronic reduced their working week to four days. In November, O-ring producer Trelleborg laid off 25 employees after it also dropped its production line to a four-day week.

A meeting between employees and the management at Woodware yesterday was attended by General Workers' Union's representative Joe Sammut.

The GWU said it hoped to help the dismissed workers seek alternative employment and that it was particularly concerned about the older employees for whom this will be a greater challenge.

The GWU said the employees were appreciative of the union's work and support during this difficult time.

cperegin@timesofmalta.com