Methode growing again in wake of government aid

Methode Electronics had not only braved the recession but continued to expand when others were trying to make ends meet, Finance Minister Tonio Fenech said during a visit to the company yesterday.

The manufacturing company, which used to specialise in automotive electronic parts and has now expanded to other products, employs over 800 workers and mainly exports to Europe and America and, on a smaller scale, to Asia.

At one time, however, it had shortened its working week to four days and was about to cut the number of employees by 100. This was in the wake of a big drop in demand for its products in the aftermath of the international financial crisis of 2008.

This situation prompted the government to intervene and extend a multi-million-euro package in financial assistance for worker training.

Mr Fenech said the move had not only restored the company's working week to five days but secured the jobs of 100 employees.

The firm is now the second largest of its type in Malta. It has ventured into other areas of production, such as busbars, and is still expanding. It will start producing touch sensors in three months' time. More workers have had to be taken on to man the machinery bought to make these products.

Pierre Micallef, sales and strategy director at Methode, said the electronics market had been picking up again throughout the past year, stabilising the company's business.

Joseph Khoury, regional vice-president, said the turnaround would not have been possible without the government's financial help.

Speaking shortly after being shown the new machinery, Mr Fenech said the company's success proved the reliability of the economy. Although he conceded that the country did feel the strain of the recession, he said the situation was better than that prevailing overseas.