Call centre workers in mid Wales are holding a ballot on strike action on Wednesday after their employer refused to sign a job security agreement.

Fears have been growing at the Reality centre in Newtown that a trial use of a call centre in India by parent company Great Universal Stores will lead to job cuts in its UK operations.

Reality employs 400 workers in Newtown

Shopworkers' union Usdaw will ballot staff from 28 August to 11 September, with the result declared the day following that period.

The company has said it is looking at options to "supplement" the UK call centres it uses.

It has been running a trial using 50 operatives based in Bangalore, India, which will finish at the end of August.

As well as the 400 staff in Newtown, the company uses bases across northwest England.

The company should not underestimate the strength of feeling over this issue

Usdaw national officer Val Pugh

Up to 6,000 union members across all the sites will take part in the ballot.

Usdaw national officer Val Pugh said: "The company will no doubt try to reassure our members that there will be no job losses as a result of outsourcing call centre work to India.

"Until we get a job security agreement, our members won't believe the company when they say the use of Indian call centres will not be at the expense of their jobs.

"The company should not underestimate the strength of feeling over this issue. Our members are very angry.

"We have been left with no alternative but to ballot our members."

Thousands work in call centres across Wales

GUS runs home shopping catalogues Kays, Choice and Great Universal and also controls catalogue chain Argos.

According to the management, it had used overseas operatives at times of peak demand for a number of years.

In a statement, the company said it was now looking to overseas call centres to supplement the services already provided in the UK.

"A number of other UK-based companies already operate successful overseas call centres because of its cost-effectiveness.

"This is a part of a growth strategy," a spokesperson said.

They declined to comment on the ballot, saying they would wait for the result.