1990/91 rather than compromise their contract position with the Bermuda Industrial Union.

The do-or-die position was revealed yesterday by union leader Mr. Ottiwell Simmons MP during a stormy session of the Essential Industries Disputes Settlement Board.

Mr. Simmons said leaked documents of August, 1990, meetings between top hoteliers and Government representatives supported his contention there was "a conspiracy to bust the union''.

The union leader cited hoteliers' statements that they "were prepared to accept'' a strike during the winter rather than give in to the union's "extravagant demands.'' The documents were read at the hearing by the union's final witness, BIU research officer Dr. Barbara Ball.

A copy of the minutes later obtained by The Royal Gazette shows hoteliers telling Premier the Hon. Sir John Swan they were girding themselves for confrontation.

One hotelier told the Premier that "confrontation with the union would inevitably lead to a strike -- a situation which the owners were prepared to accept.'' Later, the minutes reported that it was "essential that if a strike took place it should be in the quiet season...'' A private letter accompanying the meeting minutes also reflected hoteliers' growing resolve to play tough with the union.

"The feeling of the (hotel) owners, which I would fully endorse, is that a stand must now be taken against the union,'' a hotel officer informed an overseas owner.

"I do wonder if any of the hotels could survive a further three years of excessively high pay awards and reducing productivity.'' The meeting was assured, the officer said, that "all of the Bermudian-owned hotels would also stand firm against the union.'' Board member Mr. Gregory Haycock interrupted the proceedings to say he was "amazed'' Mr. Simmons would enter what were obviously confidential and private documents.

He also said the minutes clearly outlined the hotel's difficulties, thus "damaging the union's cause''.

On Tuesday, the hotels submitted financial statements showing the eight largest operations lost $12.5 million for the fiscal year ending September 30, 1992.

Mr. Simmons objected to Mr. Haycock's remarks, saying they were not impartial.

But board chairman Prof. Ronald Haughton assured him Mr. Haycock was remaining neutral in the dispute.

The hoteliers' get-tough stance was further underlined by its plan to stop collecting union dues if the union did not accept the hotels' best non-negotiable offer.

Mr. Simmons reminded yesterday's hearing that was what hoteliers did for six weeks following the expiration of the previous contract on February 24, 1991.

Dr. Ball said the union could not have survived financially if the non-payment of the dues had continued for an extended period because the hotel workers' dues provide the largest portion of the union's income.

"So the union would have gone bust?'' Mr. Simmons asked her.

"Yes,'' Dr. Ball said.

The minutes of the meetings also indicated that hotel managers felt they had lost control of their properties to the union.

"The owners reported that because of the strength of the union they were unable to manage their hotels and that it was inevitable that resident managers (surrendered) to avoid strike action,'' the minutes said.

"Although the existing agreement with the union allowed managers to manage, the contract was not enforceable by law and as a result the union ignored the agreed procedures at their will.'' Mr. Simmons also presented a report which outlined an "injunction against the Bermuda Industrial Union's Portworkers Division'' which was coordinated by the Chamber of Commerce on behalf of its membership.

This document showed that "the UBP, the Bermuda Hotel Association, HEB members and the Chamber of Commerce conspired to destroy the union'' Mr.

Simmons said.

Earlier in the hearings, Dr. Ball presented evidence to support the union's contention that hotel employees' wages and benefits were "way behind'' workers from other industries.

Using BIU and HEB information, Dr. Ball calculated that the average weekly wage for a hotel employee ($252.80) is almost half the average pay workers at other unionised enterprises receive.

She also said adjustments must be made to sick leave, severance pay, maternity leave and compassionate leave policies in order to bring hotel employees on a par with the rest of the Island's work force.

The hearings are set to continue on December 2, when Dr. Ball will be cross-examined by HEB lawyer Mr. Stephen Shawe.