employment insurance, but later said the apparent policy shift was a speechwriter's mistake.

"Expunge that,'' Dr. Saul said of the reference to employment insurance which appeared in both the written text of his speech and his oral delivery to the annual general meeting of the Bermuda Employers' Council.

The passing reference to employment insurance -- which in some countries is known as unemployment insurance -- was included in a list of measures Government was working on.

Nobody questioned Dr. Saul about the remark as BEC officials thanked him for the speech, but it did raise eyebrows.

Government has resisted repeated Opposition calls to look at such a plan and said three years ago it was not actively exploring such a scheme, which would typically be funded by Government, employers, and employees.

"I heard it for the first time when he mentioned it (in the speech),'' said BEC president Mr. Dennis Tucker.

Questioned later by a reporter from The Royal Gazette , Dr. Saul said it was all a mistake.

"I must say, when I read it aloud right there in front of everyone, I thought, that shouldn't be there,'' Dr. Saul said.

While it was actively discussed when the United Bermuda Party prepared its 1993 campaign document Blueprint for the Future, "the issue of unemployment insurance is not something we're moving ahead on right now.

Among other problems, it was seen as "an additional burden'' on employers.

"We will continue to review it,'' but "it's not something that's likely to come up within the near future.'' Through use of an old document, the reference was mistakenly included by director of Government Information Services Mr. Gavin Shorto, who wrote the speech, he said.

Mr. Tucker, for one, said he was relieved at the news. "Anything that's going to put more financial burden on employers is something that we would not be pleased with at this stage,'' he said.

In his luncheon speech at the Princess Hotel in Pembroke, Dr. Saul said Bermuda's economy had not grown at the rate he predicted it would in his Budget as Finance Minister last February.

But that was not the end of the world, he said.

A "born optimist,'' Dr. Saul said the economic difficulties the Island was facing were a good thing which would help Bermuda face other challenges in future.

Government was "on target'' with its 111 Blueprint promises, with 31 completed, 79 "well under way,'' and only one not started.