Joinwell lays off 37 workers owing to dwindling orders

The furniture manufacturing company Joinwell has laid off 37 employees because of a dwindling order book.

The company's management yesterday issued letters asking for the resignation of 32 workers from the manufacturing sector and five office employees, General Workers' Union section secretary Joseph Sammut said.

"Due to the lack of orders in manufacturing the company had no choice but to let some people go... It's a pity because some of them are very talented," Mr Sammut said, adding that 14 workers had been laid off in 2003. Joinwell now has 40 people on its books.

Mr Sammut said the union and the management had been negotiating the package for over a year. It was agreed the company would dismiss the 37 employees on a last-in, first-out basis and they were offered a financial package depending on how long they had been with the company.

They have now been put in touch with the Employment and Training Corporation to help them find another job.

Mr Sammut added that the delay in privatisation of the Malta Shipyards was a factor in Joinwell's lack of work. Apart from selling household furniture the company also has a yachting service that provides furnishings for boats.

It recently formed part of the AB Consortium that bid for the privatisation of the Manoel Island Yacht Yard facility. The consortium was made up of Asimut Benetti, Joinwell, Esprit Yachting, JF Security and the Arrigo Group of Hotels.

The government recently announced that another consortium, which included Midi plc, was chosen as the preferred bidder for the yacht yard facility and that detailed discussions would start on the bid.

AB Consortium declared it was making "representations" with the Privatisation Unit on its decision.