One of the island’s most established building engineering companies, Panta Lesco, will be laying off dozens of employees this week.

A spokesman for the company said the number of redundancies would be under 70 but could not give the precise figure, citing negotiations that are still under way with unions.

He said that the main reason for the layoffs was lack of work. “We have lost some important work contracts and that is the reason why we need to reduce our staff.”

Discussions are taking place with the General Workers Union and the Union Ħaddiema Magħqudin, with sources saying they were trying to save as many jobs as possible.

Sources close to the company said that the original plans were for Panta Lesco to make a fifth of its workforce redundant. However, a final decision by the group’s board of directors has not yet been made.

Panta Lesco Group, which incorporates six companies, employs about 260 workers in both Malta and abroad. Apart from offering building engineering services, the group has interests in property development, marketing and in the sale of specialised equipment and air conditioning plants.

Established more than 50 years ago, the group has grown into one of the most important local companies in the construction industry.

Apart from being involved in all the major building projects on the island in recent years, from the Dragonara casino to the Midi project, the group has also ventured offshore and has been involved in building contracts in Libya, Saudi Arabia and other countries.