DRIVERS at bus company First have thrown out a new pay offer from their bosses.

About two-thirds of drivers voted against the deal in a ballot, whose results were announced today.

The result has come as a blow to company chiefs at First who had hoped their latest offer would meet the expectations of staff.

The Evening Press did not have any details of the deal, but it was understood to be significantly higher than the 2.2 per cent figure which First originally offered.

That was unanimously rejected by drivers, who have now considered three different deals.

The continuing reluctance of drivers to come to terms with their bosses means the prospect of a bus strike crippling public transport in York cannot yet be discounted.

But the Transport and General Workers Union (TGWU), which represents the drivers, said it was hoped a deal could be concluded in the next couple of weeks.

Brian Asquith, First managing director, said: "I am disappointed with the result. I believed it was a good offer.

"It was a deal in line with the union's expectations. We will meet with them again in the next couple of weeks in further talks."

Dave Bolton, York organiser at the TGWU, said real progress had been made in on-going discussions with the company.

He said it was time for both sides to "step back" and see where the company offer could be "fine-tuned".

Mr Bolton said: "I am disappointed (with the ballot result) but not surprised.

"We are still hopeful and are not going to abandon the talks. We will come to a conclusion in the next couple of weeks.

"Both parties need to step back and look at the deal to see where there could be a little bit of fine-tuning.

"The aim is to get a stable labour force able to give a quality bus service to the people of York.

"But to get that you need quality staff on quality pay."

Updated: 15:17 Friday, May 24, 2002