Teachers were yesterday given a substantial seven percent pay increase after months of arbitration talks brought on by strike action.

General secretary of the Bermuda Union of Teachers (BUT) Michael Charles said members were pleased with the pay award, which is expected to be backdated to September last year, but said it would still not make teachers' pay equal to other civil servants with the same academic qualifications.

As a result, arbitrators had recommended in their binding pay award yesterday that talks resume in the coming weeks over the issue of parity between teachers pay and their Government colleagues.

"I think if you look at the figures, the award is close to seven percent," said Mr. Charles. "It's good. It's certainly a positive step, and goes a long way to righting something that was wrong in the first place. The teachers are pleased. They understand that we have some more work to do, but they realise that we have made progress."

Mr. Charles said he estimated that with the pay rise, a teacher starting off now would earn about $51,000 a year.

Prior to the increase it was about $46,000 a year. A teacher on maximum salary will earn about $69,000, in comparison to $63,000 before the increase.

Mr. Charles said the seven percent was way above what Government had first offered the teachers when pay talks began in September.

"I think Government came in at 1.5 percent," said Mr. Charles. "And I think when we went to mediation it was about 2.8 percent. The teachers obviously weren't happy with that so they fought. The teachers wanted to fight, but it was a struggle.

"All we were asking for from the beginning was parity, and we are still asking for that.

"What the arbitration panel has done is given us a salary which I guess we can live with until we can discuss parity. The panel has acknowledged that there must be parity and have said that the parties should discuss it in the near future.

"The union hopes that it will start tomorrow."

Public schools across the Island were forced to close last October and November after teachers walked out on strike over the low pay offers.

The matter came to a head when Labour and Home Affairs Minister Terry Lister threatened to arrest striking teachers after an injunction was prepared by the Attorney General's Chambers.

Mr. Lister said he wanted to get teachers round the table talking, rather than breaking the Trade Disputes Act by striking.

In the end, the Island's 800 plus teachers voted to go back to work at the start of November, but marched on Parliament first to demonstrate their frustration. The matter was then referred to mandatory arbitration, with the pay award yesterday being binding to all parties.

Yesterday, Education permanent secretary Michelle Khaldun said she was glad the arbitration process was now over.

"We are keen to move forward in a co-ordinated manner, working with the BUT for the betterment of our students," she said.

"The arbitrators had a complex situation to address and we wish to thank them for their willingness to undertake this task and for their careful deliberation and effort in arriving at their ruling.

"As we review the tribunal's recommendation, we will also be taking steps to facilitate an enhanced collaborative and consultative process with the BUT executive and the entire teaching body who are major stakeholders in the Ministry's mission to create a public school system that is considered first choice in our community."