Striking workers are set to go back to work this afternoon after a dispute over sacked hotel staff was finally resolved.

The two-day long industrial action was settled this morning after a climbdown from Fairmont Hamilton Princess hotel management, which agreed to reinstate four staff members who had been made redundant two weeks ago.

The settlement was reached following lengthy negotiations between hotel executives and Bermuda Industrial Union chiefs, which began last night and continued into this morning.

At a press conference held following the conclsuion of those talks, BIU president Chris Furbert confirmed that the four staff have been guaranteed employment from May 1 and will receive other benefits such as health insurance in the interim.

Describing the outcome of the dispute as “a victory for the people”, Mr Furbert said that further talks still needed to be held but that the matter “has been sorted out to a degree of satisfaction”.

The BIU had argued that the hotel had broken the collective bargaining agreement by dismissing the employees without consulting the union. The stalemate culminated in hotel staff downing tools in protest on Tuesday.

And the industrial action spread yesterday when staff from all BIU divisions — including public transport workers — downed tool to march in support of the hotel staff. Bus and ferry services were disrupted throughout the afternoon and were scrapped completely this morning.

However, Mr Furbert said that all union members were expected to be back at work by this afternoon.