mechanics dispute.

Both the Bermuda Industrial Union and Mr. Herman Basden, the Public Transportation Board director, are due to meet Labour Relations Officers for talks this morning and both sides hope the dispute can be solved quickly.

It centres on the sacking of a colleague for allegedly fighting on PTB property last month, but the union claims the dismissal was unjustified and the employee dealt with harshly.

Since last Thursday, both the drivers and the mechanics have refused to work overtime, resulting in all buses being taken off the road yesterday, a public holiday.

The overtime ban has also had a marked effect on the bus fleet, with almost half out of action last Friday because of the action by the mechanics.

Yesterday, BIU President Mr. Ottiwell Simmons MP said both he and the Labour Relations Officer, Mr. Edwin Wilson, tried to arrange a mediation meeting last week to settle the dispute.

"Had Mr. Basden agreed to mediation at that time then the dispute may well have been settled last Friday,'' added Mr. Simmons.

"However, both parties have now arranged to meet. It is the wish of the BIU that a reasonable and just settlement will then be reached and the issue resolved.'' Last night Mr. Basden said as far as he was aware all buses were off the road during the public holiday. "We will be meeting with the Labour Relations Officer to try and resolve this dispute.'' Meanwhile, an Essential Industries Disputes Settlement Board is also due to convene this morning to try and resolve a long-running dispute between the BIU and the Hotel Employers of Bermuda.

The two sides have spent months trying to reach agreement on a new three-year contract, expiring in 1998, but have been at loggerheads over its details.

Today the Board, chaired by American Mr. Arnold Zack, will meet to try and settle the contract for HEB's six largest properties, the Southampton Princess, Hamilton Princess, Sonesta Beach Hotel, Marriott's Castle Harbour, the Belmont Hotel and the Harmony Club.

The BIU is calling for increased wages, increases to vacations, pensions, sick leave and a day-care centre for each hotel -- demands that were labelled "outlandish'' by the HEB.

As well as the wage increases, the BIU is also calling for upgrades in wages paid for certain jobs.

The BIU, however, claimed the HEB wanted to cut maternity leave and shoulder workers with half the cost of booklets outlining the new collective agreement.

In all there are some 30 differences to be resolved.