The deal ties boss Laws' future to the club until the summer of 2011.

Laws, linked with moves to former club Nottingham Forest and Watford recently, had been in the final year of his deal.

His signing will be met with sighs of relief by Wednesday fans, with the North Easterner having done an impressive job with limited resources at Hillsborough amid ongoing off-the-field uncertainty.

Laws, who joined the Owls from Scunthorpe just over two years ago, took the Owls to within a whisker of the play-offs in 2006-07.

Last season, he helped steer the Owls to safety after a wretched run at the start of the campaign, when the club suffered a club record worst-ever seasonal start when they lost their first six games.

Everything that could go wrong did at Wednesday last term, from pre-season floods to a calamitous injury list – not to mention a host of twists and turns in the takeover saga at the club.

But Laws managed to keep the Owls' heads above water and they secured their safety with a thrilling 4-1 win over Norwich on the final day of the season in front of 35,000 at Hillsborough.

Laws said: "Stability is important and I'm pleased this has been sorted out.

"We also want to make sure the club is moving in the right direction and I wanted to be part of that. I never wanted to leave.

"When your contract is up for renewal, you want it sorted out, as players do.

"I wanted to be reassured that we were going to be progressive and the board have answered those questions."

Meanwhile, it was one in, one out on loan deadline day at Wednesday, with much-travelled striker Deon Burton heading to Charlton, initially temporarily.

The Jamaican international, 32, who has also had a spell at South Yorkshire rivals Rotherham United, scored his first goal of the season at Blackpool on Tuesday and his future was increasingly up in the air.

Laws said: "Deon has been a fantastic servant to the club but even he would admit that he hasn't had a great season.

"I wasn't in a position to offer him a new contract and I didn't want it to get to the end of the season and leave him without a club."

On the incoming front, West Brom striker Bartosz Slusarski has rejoined Wednesday on loan with a view to a permanent deal.

The Polish international, 26, has returned to Hillsborough, where he spent two months on loan at the end of last season, scoring once in seven games.

Laws added: "He's at a good age and I still believe the best is yet to come from him."