The screw you referenced and the one on the other side hold the black back plate on. Which in turn holds the knife switch assembly. On mine the 2 terminals at the bottom are connected to 2 wires in a black sleeve that go directly into the light bulb. Mine is missing 3 of the 4 screws for the knife switches. I do not use them.
Too make things neater I would drill 2 holes in the Black back plate and run the 4 wires down the sleeve and connect under the layout. Otherwise the 4 wires were meant to dangle.
What MTH/LCT makes today is a reflection of what was made in the past. If they left the knife switches off people would be up in arms. If they added and ran wires with 4 terminals added to the bottom,buyers would claim not like the original. They wisely made it like the original.