Premier Alex Scott yesterday announced the shock resignation of Education Minister Terry Lister who has been replaced by former educator Neletha Butterfield.

And a clearly unhappy Randolph Horton has moved from Labour and Home Affairs to the Environment Ministry, formerly held by Ms Butterfield.

Mr. Scott replaced Mr. Horton with former Bermuda Industrial Union boss Derrick Burgess, who for the first time in the Progressive Labour Party?s nearly eight years in power, moves from the backbenches.

Declaring Mr. Lister?s resignation ?for personal reasons? Mr. Scott said the door will always be open for his return to the front benches.

A tired Mr. Lister explained he wanted a break from Government and denied he had plans to challenge Mr. Scott at the PLP?s leadership election in October.

A glum-faced Mr. Horton said at yesterday?s Government House press conference that he had thoroughly enjoyed his previous post.

?I make no bones about the fact that I am very disappointed to leave Labour, Home Affairs and Public Safety but I know what is required.

?But the people of Bermuda and the Progressive Labour Party can rest assured that all the energy I put into Labour, Home Affairs and Public Safety will go into the Environment.?

Mr. Scott also acknowledged that eyebrows will be raised with the elevation of the long-time unionist Mr. Burgess, but said: ?His work on behalf of labour speaks volumes about the character of the man and his labour reputation will move some to criticise his selection.

?But in fact, it is the very reason why he was appointed. Over the years, we have had outstanding businessmen serve as Labour Ministers and we did not see it as a problem for labour or the country.

?Therefore, now that we have appointed an outstanding native son with labour roots, we too, should not regard it as a potential problem for business or the country.?

Premier Scott concluded that the Island and the world is ?ever changing?.

He added: ?We are living in times that require dynamic leadership, focused vision and a dedication to getting the job done?, before declaring that Ms Butterfield, Mr. Horton and Mr. Burgess will be ?steadfast in doing just that?.

Sources close to Government said the reshuffle was done at the last minute with Ministers only told on Thursday of Mr. Lister?s resignation the day before.

Opposition leader Wayne Furbert said the widespread reshuffle came as a surprise and he said Mr. Burgess would have to remember to represent all sides after coming from such a strong union background.

Bermuda Public Services Union leader Ed Ball offered his congratulations to Mr. Burgess on being the first former union leader to take control of the Ministry of Labour. But he too cautioned the new Minister would now be forced to take a middle line on employment matters.

Political observer Walton Brown said: ?A leader needs to make changes to get more interest and focus in what the Government is doing.

?Summer is a traditional time to make reshuffles.

?But the resignation of Terry Lister is a real surprise ? he was a strong, steady force. He will be missed.?