Services could yet be hit by industrial action

Talks between management and Rail, Maritime and Transport officials resulted in a deal being struck "in principle" on Tuesday.

However, the RMT's general secretary, Bob Crow - who was not present at the talks in Glasgow - has described the offer as containing "more strings than a symphony orchestra".

Mr Crow said the union would be seeking further discussions but that a ballot for industrial action would continue in the meantime.

A CalMac spokesman said the company had still not received formal notice of the union's rejection of the offer.

Punctuality targets

The package is understood to involve a 3% pay rise this year and an increase linked to inflation next year.

It also pledged an extra 1.5% in both years if CalMac meets targets on punctuality and achieves cost efficiencies.

A statement issued by both sides on Tuesday said: "Representatives from Caledonian MacBrayne and RMT have met to discuss the present situation and both parties are satisfied that progress has been made and that a proposed settlement has been agreed in principle.

"The details have still to be discussed with RMT members and it would be inappropriate at this stage to expand on these details."

The RMT had begun the ballot of 450 members last week with a view to taking strike action by the end of August if the issue was not settled.

George Lyon, Scottish Liberal Democrat MSP for Argyll and Bute - an area which would be badly hit if ferry workers take industrial action - called for both sides to resume talks.

He said: "This news is an economic catastrophe for those island communities served by the Caledonian MacBrayne ferry services.