He said that unfortunately, the Union did not flex in its approach to the matter.

According to Gopaul, the Government, like the Public Service Union (PSU), has an abiding interest in improving the real wages of workers but is constrained by many factors including the crime situation. He said that many uncatered-for expenditures have been invested to curb the crime spree and in addition much was spent in the preparation of the bauxite industry for privatisation.

GPSU and the Government being deadlocked in conciliation, met last Wednesday to agree on a model for arbitration.

The Terms of Reference continued to be a sticking point in the negotiations between the two parties as they make many seemingly futile attempts to work out arrangements for arbitration in the impasse over wages and salaries for public servants, a major sticking point being the issue of allowances.

PSU and PSM had commenced negotiations for wages and salaries for public servants on April 4 last.

The parties held three meetings at the direct level after which it was felt that very little room existed for a settlement and it was agreed that the matter be referred to conciliation.

Eight other meetings were held at conciliation under the chairmanship of Chief Labour Officer, Mr Mohamed Akeel but they failed to reach agreement.

Gopaul said the issue of wages was ventilated thoroughly with written presentations by the Union representatives and PSM but despite the many meetings they still failed to reach an agreement and a deadlock was declared.

The Union indicated its intention of going to arbitration with no opposition from PSM and as a consequence, Akeel asked them to meet to commence proceedings for setting the mechanisms in place for this.

Gopaul said the Union's application for arbitration was based on the current agreement existing between the parties as was prescribed in the public service rules (1987 edition) and that they chose the clause which relates to the settlement of disputes for grievances which was also accepted.

The Union had another avenue with reference to the Armstrong formula but PSM indicated to them that that would be subject to a Court hearing.

In the course of the discussion, Gopaul said the Government urged the Union to see that if the arbitration mechanism is in place, one where the TUC, the business community, and the Government had nominees and an independent chairman has been named, that no harm could be done since it was a consultative process with a tribunal established under the Public Utilities Act.

The Chairman of that was Father Malcolm Rodriques and the Government said that if this committee was appointed with the consultation and approval of all the social partners, why not try to utilise this committee for the resolution of the conflict. The Union said they would consider him but would prefer to go with a tripartite committee.

In seeking to determine Terms of Reference, he said the Union said they would like to discuss wages but that the Government indicated that throughout the discussions since last year, they had discussed a multi-year package since it was believed that the annual ritual of negotiations (with 14 meetings per year) and no resolution it would be better for them to have the adjudication of a multi-year package.

Gopaul said discussions commenced on the content of the Terms of Reference and after two meetings it was clear that the Union was seeking to have a very lengthy process to deal with all the issues and to add radiation allowance and night shift premiums for certain categories of workers.

The Government said it would be difficult to have all the issues put to a tribunal and said it would have to examine the position but again urged the Union to consider the issue of wages and then deal with other issues.

He stressed that it would be extremely difficult for an arbitration tribunal to consider all these issues in good time bearing in mind Government's obligation to pay workers before the end of the year and before the accounting period has ended.

He pointed out that it has not happened in the history of arbitration in Guyana where every single issue in industrial relation that affects the terms and conditions of employment has been put to a tribunal.

He said it leaves no room for negotiation and building of relations and makes a mockery of collective bargaining if they were to reach the stage where they are unable to agree and that no relationship can be built.