A senior Precision Woodworking Limited official says that the company has not shut down but it is in the process of “restructuring”.

He, noted, however, that due to being hit hard by the global financial crisis, they have had to send workers home. “We don’t have any production going through the facility so we were forced to send the staff home”, he told this newspaper yesterday.

The senior official, who asked that his name not be published, said that due to the crisis the company has lost a lot of orders and they did not have anything for the workers to make. He said that while the staff was sent home, the office is still open and persons “could walk in the factory and order with us”.

“We are in the process of restructuring the company”, he added.

On Wednesday, a source close to the company had told Stabroek News that after a lengthy meeting with executives, where it was explained that due to the global financial crisis, export markets were shrinking, the employees were informed that the company was being closed.

It was pointed out that at the start of this year; the furniture-manufacturing company had reduced the number of days its employees worked resulting in many of them leaving. Some were also sent home. Managing Director of the company Ronald Bulkan had told this newspaper earlier in March that his company had trimmed its workforce by about 35%, and from 140 employees was down to less than 100.

However, this newspaper was told that about 30 employees were still with the company up to this week and they were the ones who were laid off on Wednesday. The source said that employees were told that they would be given their leave allowance while their severance pay would be paid over a period of time. The executives also reportedly said that they were considering other options, which they did not disclose, but pointed out that they would have to first meet with their bankers to ascertain whether they are viable.

According to its website, Precision was founded in Guyana in 1983 to manufacture and export high quality furniture for the European market. Following an impressive track record, in 2001 the company received the Ernst & Young Caribbean Entrepreneur of the Year award for its export achievements. “We are specialist designers and manufacturers of hardwood leisure and garden furniture. From a modern factory in Guyana we export to discerning markets throughout the world. By constantly striving for perfection, we have gained an enviable international reputation for quality, reliability and style”, a statement on its website says.

The global financial crisis has already had some effect on other companies operating here with some having already laid off employees. A few others, who depend on exports are said to be in “difficulties”.