and employers were on a collision course.

And he firmly laid the blame at the door of the Hotel Employers of Bermuda.

Mr. Simmons hit out as it emerged talks over a new hotels contract had failed to achieve a breakthrough.

He accused hoteliers of showing utter "disrespect and contempt'' for the Bermuda Industrial Union, Government and the law by refusing to sign an agreement.

"It is this type of behaviour that is leading us on to a path of confrontation.'' But last night HEB executive officer Mr. John Harvey accused the BIU of making "outlandish demands.'' "Some of their demands are completely out of this ball park,'' he said.

He continued: "I would describe the talks so far as challenging. I think the historical position taken by the union has remained unchanged.'' Mr. Harvey said union leaders and management would meet again on Monday.

He added the two sides could go to a third party -- a mediator -- if they failed to make progress.

The BIU and the HEB have not had a collective bargaining agreement since 1991, despite attending boards of inquiry.

Thirteen of the smaller HEB hotels have refused to sign an agreement, arguing labour legislation meant they would be permanently bound to the BIU.

They have called on Government to amend the legislation.

The current round of talks began on December 12, and after a short break kicked off again on January 17.

The discussions are aimed at hammering out a three-year contract, expiring in 1998.

So far none of the major parts of an agreement have been resolved, including wages, holiday pay and pensions.

Said Mr. Simmons: "I wouldn't describe the talks as challenging at all. I would say they are most disappointing.'' He said the 13 smaller properties had displayed outright contempt for the law.

"They refused to sign the last agreement worked out by Professor Ronald Haughton, and have refused to come to the negotiating table to negotiate a new agreement.'' Mr. Simmons strongly refuted the allegation the union's demands were "outlandish.'' He said, among other things, the HEB were proposing: Slashing maternity leave from nine weeks to seven; and Forcing employees to pay 50 percent of the cost of the booklets outlining the collective agreement.

Mr. Simmons described the maternity leave plan as an insult to female workers, while the other proposal was sheer "foolishness.'' "I don't know what the strategy of the HEB is, but our strategy is to get an agreement as soon as possible that is not going to harm the hotels and the workers.'' Mr. Harvey said he was loathe to say anything which would jeopardise the talks.

But there was no doubt the union was making demands which hoteliers could not agree to.

He said neither side should be "embarrassed'' about seeking outside help in reaching a resolution.

"We've done that before,'' he added.

Mr. Ottiwell Simmons MP