Government has awarded 1,100 blue collar workers a five percent pay rise with members getting back-dated pay to January 1 this year.

Bermuda Industrial Union President Chris Furbert said yesterday: "Membership ratified the agreement for five percent. It has been a long and tedious process for the past nine months."

He added: "Further negotiations will start early next year to discuss a 35-hour work week proposal and other items."

Mr. Furbert explained the BIU held a meeting on Tuesday with its members to give them an update on negotiations for the two-year agreement. The pay affects staff in nine Government divisions.

He said they had reached agreement for the 2008 contracts, but in January would start new negotiations for 2009 along with other "outstanding issues".

BIU members in the Works and Engineering and Parks departments are to gain, as are custodians and golf course attendants and those involved in postal and bus operations.

Mr. Furbert said some of the issues to be discussed in the new negotiations include the proposal for a 35-hour week, a reduction from the current 37.5 hour week, which Government said in September it was seriously considering at the BIU banquet in September, former Education Minister Randy Horton said the proposal was well-received by Government.

In addition to the 35-hour work week, Mr. Furbert said they would be discussing the second-day call-in proposal meaning if an employee is sick, they would have to call their employee the first and second day they were out. Currently, an employee only has to call in on the first day.

Mr. Furbert said he accepted the BIU has "ongoing challenges" but said he hoped all its members would remain gainfully employed.

Asked about how the effects of the economic crisis could affect the BIU, Mr. Furbert said they are trying to do cost cutting so that no jobs are lost.

He explained the largest division of the BIU was in the hotel industry and then the Government. He said he had not heard many complaints about lay-offs from the hotel workers but added he anticipated they would come soon during the off-season as hotels cut back staff.

Mr. Furbert said if there are complaints, the BIU would have talks with Government about people in the hotel industry.