Hotel bosses and industry yesterday clashed over plans to give an industrial code of conduct legal teeth.

Bermuda Employers Council chief executive Malcolm Dixon backed the plan -- but Hotel Employers of Bermuda top man John Harvey said the code should remain voluntary.

But both called for full consultation with employers before any new laws are tabled.

Mr. Dixon said that the Labour Advisory Council -- which includes employers and unions -- had helped draw up the code, introduced under the last Government as a voluntary document.

He added: "The Government said then, within a year, if doesn't work, then we might make it into legislation. We said give it a chance.

But he said: "What we have found out in the meantime is that some employers have complied and others haven't -- there are still practices out there which don't adhere to the code.'' But the HEB's Mr. Harvey insisted: "I think legislation is a bit premature, notwithstanding what's happened in the last few days.'' Mr. Harvey said: "I don't think the code was intended to be legislated -- it was thoroughly examined and thought out.

"I think we should continue to have dialogue between the various partners and have dialogue at a more respectable level in the community.'' The two were speaking after bus, ferry and other services were disrupted earlier this week as Bermuda Industrial Union members held a mass meeting before marching on Hamilton's ACE/XL office site, at the centre of a dispute over sackings and union recognition.

Labour Minister Paula Cox used trade union law to set up a Trade Disputes Council and ordered the union and contractor Precision to get around the table and thrash out their differences.

And she added that she would make legislation to enforce the code of conduct on industrial relations a priority for the next session of the House of Assembly.

The original code set out guidelines for firms to follow over rights in the workplace, werongful dismissal, discrimination and terms and conditions of employment.

The code also covered procedures for lock-outs, strikes, picketing and grievance procedures.

Mr. Dixon said BEC members in a survey two years ago backed the use of the code.

And he pointed out that the BEC also offers assistance to members in helping to develop good industrial relations -- including a model handbook.

But he added: "There are a lot of companies which are not members of the BEC and have not been privy to the code or have taken advantage of it and may not be addressing the issues.

"And the Department of Labour is receiving complaints about various things in terms of non-compliance with what we would call custom and practice.'' Mr. Dixon said: "We encourage employees to try and address good practices. As far as the code goes, we would hope to be be involved in the decision process on it.'' He added: "We would prefer it being voluntary and we still prefer that because labour relations in Bermuda have always been voluntary.'' But Mr. Dixon said: "Where there are some companies still not conforming with normal practice, it may be necessary to legislate.'' Mr. Harvey said, however: "If it needs to be aired again at the Labour Advisory Council to reinforce the Minister's view that all parties should work together -- that's the way it should go forward.'' HEB official John Harvey