Belco staff say they will walk out in less than three weeks if managers do not heed their pay demands.

The members of the Electricity Supply Union are said to have grievances against company managers relating to pay scales.

This prompted the union ? which accounts for around 200 of the 350-plus staff at Belco ? to issue an advance warning to the Labour Relations Office yesterday. The union which gave 21 days notice of strike action was set to hold a meeting of its executive to discuss the matter yesterday evening.

Robert Horton, Permanent Secretary to the Ministry of Labour, said the grievances were over what he called ?wage scale and reclassification issues?.

He said that a reorganisation process within Belco had been going on for the past couple of years but that the union has now reached ?an impasse? with management.

Mr. Horton said he did not know the specific issues at the heart of the strike threat as the union has not revealed these and is under no obligation to do so until it meets with the Labour Relations Officers for mediation.

This process is likely to begin tomorrow.

?Because Belco is an essential industry the mediation process commences immediately,? he explained.

If this is unsuccessful, the minister will appoint arbitrators in accordance with the provisions of the Labour Relations Act.

Union representatives declined to comment on the issue, saying that a statement would be released only after their meeting this evening.

Linda Smith, vice president for external relations and corporate communications, declined to comment on the detailed reasons for the threatened strike action. She said she did not wish customers to be concerned that this could spark a blackout, although she admitted any strike would be ?disruptive?.

She added: ?It would be premature to predict the outcome of the talks.?