GPMU representatives and the negotiating committee of the Confederation of Paper Industry (CPI) met yesterday (25 August) at CPI headquarters in Swindon in a bid to thrash out a deal and avoid industrial action.

This follows GPMU members rejection of a 2.85% pay increase two months ago.

CPI officials tabled an improved two-year deal, which will involve a 3.2% increase in year one, and a 4% increase in year two.

GPMU president Ray Williams said he was very pleased with the deal, which he considered had been worth holding out for.

The industrial action has now been deferred, and a ballot paper to be sent to members will be drawn up.

"I will be recommending that they accept the offer," he added.

Williams said he appreciated that the paper industry had been through a tough time over the past few years, but said throughout this, GPMU members had been "more than reasonable".

Tullis Russell managing director Don Munro said he would have to wait for the result of the ballot: "It is worth remembering the GPMU executive recommended acceptance of the first offer and it was rejected.

"On a positive note, divisive action has been averted at a time when the industry is facing tough challenges."

Industrial action would have involved more than 4,500 GPMU members in the paper industry.

Some 67 out of 80 paper and board mills in the UK are CPI members.

Story by Andy Scott