controversial labour laws hurried through Parliament in 1991 to end unease over hotel contract talks, it was learned yesterday.

But if the Labour Relations Amendment Act 1991 is scratched from law books, new legislation with more teeth will take its place, Mr. Pearman warned.

He said Government might consider a clause giving hotel workers more rights in light of the dispute which broke out at the Elbow Beach Hotel this month.

Further constraints on industrial action may also be included in the new legislation, Mr. Pearman said, noting the Elbow Beach dispute had ended in a thee-day strike call.

The 1991 legislation barred strike action by hotel workers during contract negotiations and created the binding Essential Industries Disputes Settlement Board.

However, Mr. Pearman admitted that recent hotel labour disputes had shed light on some loopholes. And Elbow Beach management was taking full advantage.

The Paget hotel, recently taken over by new management, is refusing to recognise the Bermuda Industrial Union any longer, saying a recent disputes board ruling found no collective bargaining agreement existed between it and the BIU.

The hotel imposed its own worker-management deal in February which included profit-sharing and a generous ten-percent wage hike.

But a row erupted this week when the BIU found out automatic deductions of union and credit union dues from workers pay-cheques had been stopped.

Mr. Pearman sent the dispute to the disputes board for resolution.

However, following meetings with hotel management -- who refused to budge -- and the Minister, BIU president Mr. Ottiwell Simmons concluded on Friday that the BIU "had exhausted all reasonable steps to avert an industrial dispute''.

"At a meeting of unionised staff it was decided to conduct a three-day token strike during the first opportunity when the hotel's occupancy exceeds 70 percent,'' Mr. Simmons said in a statement.

Tourism Minister the Hon. C.V. (Jim) Woolridge last night expressed deep concern over the strike call, noting it had come at a time hotels were recording booking increases -- and the peak season was approaching.

"I just hope whatever differences there are can be resolved,'' he said.

"A strike at this time would send the wrong signal out there. We must remember people have plenty of choices to vacation these days.'' The Tourism Ministry was making sure its overseas staff were informed and able to give a responsible account of the situation, he said, but it was out of his hands.

Mr. Pearman, however, said there was nothing he could do to stop the strike.

The 1991 legislation only made strike action illegal during contract negotiations, he said. But as there was no agreement currently being negotiated, it was "perfectly legal'' for the workers to strike.

Disagreeing with the hotel's position that no collective agreement existed, he said it was the Elbow Beach Hotel that had acted illegally, despite its agreement to go before the disputes board.

"I think Bermuda is very disappointed that two years ago we did something we thought was the answer and now who's walking away from it first? -- the hotel owners,'' he said.

"I wonder whether or not it is worth keeping the act on the books. I am considering repealing it -- there is just not much point continuing with something that is being flouted so boldly, which is what is happening at the moment.''