Nine companies employing 1,208 people between them are on a four-day week because of financial difficulties arising from the global economic crisis. All the companies operate in the manufacturing sector but in different areas, ranging from car parts to cartons.

Eight companies were authorised by the director for industrial and employment relations to go on a four-day week since October while the other one was authorised to do so in January.

Pamargan Products Ltd, which makes bonded seals and O rings, reduced the working week for 91 employees in October but in January all of its 155 employees were made to work four days a week.

On the other hand, two companies which had gone on a four-day week in October, are no longer working reduced hours. One of these companies, Trelleborg Sealing Solutions, returned to a full working week in January but has given notice that it will be shedding 102 jobs.

The director for industrial and employment relations, who has to approve a reduction of the working week according to law, has no pending requests from companies to shift to a reduced working week. The information was given in Parliament by Social Policy Minister John Dalli in reply to questions by Labour MP Charles Mangion.

The bleak economic scenario that has developed since the beginning of October has taken its toll on some manufacturing companies in Malta. The latest bad news came from the island's largest exporter STMicroelectronics, which last week confirmed it was shedding up to 450 jobs throughout 2009.

"The companies said they were experiencing a difficult financial situation due to reduced orders from abroad because of the international economic crisis," Mr Dalli said.

The minister explained that the director evaluates any requests made to him for a reduced working week on a case-by-case basis. An inspection is carried out on site and talks are held with the employer and workers' representatives. The approval for a reduced working week is granted for four weeks and is extended if the company requests so.

Factbox: Companies on a four-day week

• Malta Moulds Ltd

• Pamargan Products (Malta) Ltd

• Stainless Steel Products Ltd

• Hetronic Malta Ltd

• Methode Electronics Malta Ltd

• Dold Industrial Automation Ltd

• Powerswitch Ltd

• Multi Packaging Ltd

• Packprint Ltd

Total employees: 1,208

ksansone@timesofmalta.com

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