Top hotel and union officials have hammered out a one-year collective bargaining agreement after months of talks.

Bermuda Industrial Union president Derrick Burgess told The Royal Gazette yesterday: "Hoteliers and the Bermuda Industrial Union have reached a one-year agreement for hotel workers.

"The basis of the agreement is a three percent increase for workers and also an increase in gratuities of 50 cents on the MAP plan, 25 cents on the BP plan and 25 cents on the EP plan.'' It is the first time a one year collective bargaining agreement has been put in place between the BIU's Hotel, Night Club and Restaurant Division and the Hotel Employers of Bermuda (HEB), he noted.

Mr. Burgess said every effort will be made to reach a two year agreement by next February.

The previous agreement expired last February and both parties have been in mediation since April, said HEB executive director John Harvey.

He said the new agreement was in line with recent settlements and while it would present a challenge for hotels, it was a part of a number of ongoing challenges.

"We also have agreed to meet again shortly to negotiate another two years,'' continued Mr. Burgess. "We will get the other two years in place by February 25, 1999.

Details of the settlement of the Marine and Ports dispute have been revealed.

The successful arbitration session, concluded on Wednesday and signed yesterday, will see a Dockyard-based tug crew moved to other work at the West End location.

Director of Marine and Ports Ron Ross said the crew of the tug Faithful , which is captained by pilot Kenneth Todd -- the man at the centre of the negotiations -- had agreed to be re-assigned to other areas at Dockyard.

The agreement, between Marine and Ports and the marine division of the Bermuda Industrial Union, also lets the five-strong crew keep their pay scale and status.

In addition, said Mr. Ross, the men have agreed to act as relief crews for any of the tugs. A new crew will now be found for the tug Faithful within the 90-strong Marine and Ports department.

Mr. Ross said he was happy at the outcome and added that other agreements had also been reached during the session -- chaired by Barry Meade -- which would mean better training and relationships in the future.

"We wish to build on this opportunity and improve industrial relations to the benefit of both parties,'' he said. "This has been hanging over us for a year. We are all better off now.'' The dispute blew up last Thursday when Mr. Todd returned to work after a year's absence, following the confrontation during the sinking of the freighter Xing Da .

BIU members staged a walk-out at his return and after a two-day stoppage they returned to work whilst negotiations to resolve the outstanding grievances involving his crew continued.

BIU president Derrick Burgess said both sides were happy with the agreement and said he hoped it would be the end of the matter.