Yesterday's Island-wide strike had its roots in a split decision by a Government-appointed tribunal two year's ago called to sort out a union-recognition row at BAS-Serco's fire fighting department. The saga began when the majority of the workforce, which now numbers 18, opted out of the union in February 2001.

The tribunal gave a 2:1 majority decision that the union members could form one bargaining unit and the non-union members another - effectively creating two bargaining units. But the union say the company is refusing to talk to their unit. The company say they wanted to wait until the Supreme Court had ruled next month over the issue of recognition before getting into pay talks.

The BIU issued a series of 21-day strike notices over the issue because the firefighters are deemed an essential service under labour law and must giving warning of disputes.

Previously Government has stepped into stop the strikes going ahead by referring the disputes to an arbitration panel. But earlier this month BAS-Serco lawyers obtained an injunction from Supreme Court judge Philip Storr stopping the union from attending the arbitration hearing.

Government, fearing that the BIU would turn up to the hearing en masse, and then be hit with a contempt of court action, stood down the tribunal and let the strike go ahead on Friday.

Six workers down tools before being joined by hundreds of others in other industries as the strike spread yesterday.

Mr. Lister defended his decision to let the strike go ahead. He said: "I didn't wish to create an environment where one or both of the parties could have been in breach of the law. We could have had a situation where the BIU chose to ignore the judge and go to the tribunal."

Despite the fact that this had meant the strike had escalated Mr. Lister said it was the wisest decision.

"Otherwise we would have had the BIU, the major union in the country being hauled before the courts for contempt of court if they had chosen to attend. That doesn't solve anything at all.

"Once that had happened its members would have got totally incensed and we would not have a couple of hundred people on strike. We would have the whole 4,000 members of the BIU."

Mr. Lister admitted yesterday ultimately the whole issue would be decided by the courts.

He said in the meantime Government had resolved issues between the union and company yesterday which could quickly be dealt with.

He said: "Tomorrow we will get down to the nitty gritty."

However, he said since the opt out in February 2001 "the company has provided wage increases and benefits to all workers without the assistance of the BIU.

"The BIU seek to negotiate in turn a collective bargaining agreement for those members within the bargaining unit. This is the crux of the matter."

Last night BIU leader Derrick Burgess denied the March judgement by the Supreme Court would be a landmark ruling in labour relations.

He said the European Court had already ruled that the majority could not take away the rights of the minority to be involved in a trade union.

That principle was backed up by International Labour Relations conventions which Bermuda had signed up to, said Mr. Burgess.