The Bermuda Industrial Union is concerned about the outsourcing of Elbow Beach Hotel's food and beverage services to a non-unionised company.

President Chris Furbert yesterday said he has met with the hotel's general manger Frank Stocek, to express his misgivings.

On Wednesday the company announced it would be shutting 60 percent of its hotel rooms for the next several years, as well as its on-site food and beverage sector. Guests at the 98 cottages will now be offered dining and room service from the MEF Group's three waterfront restaurants on the property: Lido, Seabreeze and Mickey's.

Mr. Furbert said: "The BIU has encouraged the management of Elbow Beach to persuade MEF Enterprises to hire as many of our members as possible in their former positions in the Food and Beverage Department. I can assure you that the BIU will vigorously fight to ensure the Food and Beverage Department of the Elbow Beach remain as locally staffed as possible.

" While we appreciate the necessity for the Elbow Beach Hotel to reposition at this point in time so that they can offer their guests the next level of luxury accommodation, however, our main concern is for the dedicated staff of the hotel, some who have given sterling service to the hotel for most of their work life."

He added that he had sent a letter to the Acting Minister of Labour as well as the Immigration Department in the hopes that any restaurants or hotels looking for new wait-staff will be directed to redundant Elbow Beach employees.

Mr. Stocek has promised that in accordance with the Collective Bargaining Agreement, severance pay will be provided to those employees who qualify and those that qualify for retirement will keep their benefits. But Mr. Furbert said the union still had concerns about the welfare of employees.

"We will not rest until we are satisfied that each and every member of the BIU employed by the Elbow Hotel has been treated justly and fairly in accordance with the Collective Bargaining agreement."