decision could do "untold damage'' to the industry.

The Rev. Canon James Francis has refused to sign a decision by the other two members that takes away tips earlier granted to workers.

He says the ruling could cause damage "at a time when there is a desire for peace and harmony in the workplace''.

Workers have earned the tips, he says in a letter attached to the board's ruling.

"I am greatly disturbed by the majority decision. However, that decision must be left to the conscience of my fellow board members.

"I, on the other hand, cannot in good conscience agree with that decision.'' The decision by the Essential Industries Disputes Settlement Board followed disagreement over its 1991-1994 contract award, handed down on January 14 after 18 months of wrangling.

Hotel bosses and union leaders disagreed over whether workers should have been paid tip increases during 1992.

A decision for the union could have put hundreds of dollars into each worker's pocket and taken tens of thousands from hotel coffers.

The Hotel Employers of Bermuda say they are now happy to sign the contract.

But hotel workers in the Bermuda Industrial Union will gather on Tuesday to decide their next step.

Union president Mr. Ottiwell Simmons pointed to revelations by Canon Francis about events leading up to January 14.

Canon Francis said the award was unanimously agreed on December 31, 1992. On January 14, he said, board chairman Professor Ronald Haughton asked him to make corrections.

Prof. Haughton told him the corrections were agreed by the third board member, accountant Mr. Gregory Haycock, and non-voting assessor Mr. David Dodwell, owner of The Reefs hotel.

Canon Francis said he failed to realise the significance of the corrections.

After a query by the union the board made a decision on May 20 to go back to an original December 31 sentence on tips.

Then the hotels disagreed and asked for a re-hearing.

Last week Prof. Haughton and Mr. Haycock decided to stick by the January 14 version of the sentence.

Last night Mr. Simmons slammed the decision. "The board has not done its proper job,'' he said. "They've been very indecisive and they've been flip-floppy.'' But he praised Canon Francis for "steadfastness and integrity''. He said Prof. Haughton had held meetings with Mr. Dodwell and Mr. Haycock without Canon Francis and BIU assessor Ms Debbie Fox.

The May 20 decision in favour of the BIU was not signed by Mr. Haycock, the union leader said.

Asked about possible court action by the union, he said he preferred disputes to be settled by discussion.

HEB executive officer Mr. John Harvey said that while he respected the BIU's desire "to do whatever they need to do'', the union had been "frivolous'' to query the original award.

Prof. Haughton said: "I really can't comment on this one. It was just too delicate.

"It's going to go to the courts. I think anything that was said would not be good.''