By Steve Schifferes BBC News Online reporter at the TUC in Brighton

Mr Jones called for unions to embrace change, but refused to repeat his jibes about obstructionism, and toned down his criticism of the government's relentless drive to regulation.

The tone of his speech mollified delegates, who did not follow through on their vow to walk out in protest.

Mr Jones told BBC News Online that he was very pleased with his reception, and said that TUC delegates had "listened to the argument".

Giving ground...

Mr Jones had been worried about the reception he might have received.

Traditionally, there is little love lost between the CBI and the unions, and government's fondness for big business has soured its relationship with its supporters in the labour movement.

But the TUC leadership appeared keen to cultivate Mr Jones as an ally in their drive to get the government to do more to help the manufacturing sector.

Mr Jones said he though the CBI had "much common cause" with the unions on this issue.

He hopes to invite TUC general secretary Brendan Barber to the forthcoming CBI conference in November.

...standing firm

Mr Jones seemed to backpedal corporate concerns over the minimum wage, and the need for statutory consultation of the workforce.

But his speech was not a complete climb-down.

Mr Jones warned that over-regulation would lead to high unemployment, and defended his members against union criticism of their strategy.

"Business leaders don't always get it right, but more do than are given credit for.

"Companies are not whingeing when they make clear their intention to move overseas... If we want quality jobs for ourselves and opportunities for our children, the methods of yesterday are not the answer."

Labour pains

Mr Jones' warm welcome was not shared by Patricia Hewitt, the Secretary of State for Trade & Industry, who drew derisive laughter by saying that this was a significant moment in the relationship between the Labour party and the unions.

Ms Hewitt did call for the trade union movement to suppport Labour's drive for a third term and appeared to side with them on issues such as consultation and public-sector reform.

But if anything, debate highlighted the fact that both the CBI and TUC are now supplicants at the feet of the government, both trying to influence policy in the run-up to the next election.