A DISPUTE over bonus payments, which could have seen steelworkers taking industrial action, has been resolved.

Corus yesterday agreed to pay thousands of North-East employees bonus payments for the first two quarters of this financial year.

The dispute affected workers in all Corus divisions nationally, including the 5,000 employed in the North-East.

The steel firm runs a number of operations in the region including Teesside Cast Products (TCP) in Redcar, Long Products sites in Lackenby, Skinningrove, Hartlepool and Darlington and Corus Tubes in Hartlepool.

Last month, members of steel union Community at the Hartlepool Corus Tubes plant were balloted on industrial action over the company’s decision to suspend the payments.

The result of that ballot had been due on Monday.

It is understood employees in the Corus Tubes division work on a different pay scale to the majority of the company’s workers, and rely heavily on their bonuses to subsidise their basic wage.

Employees will receive the money in their pay packets this month.

Corus said last month the money had not been paid because bonus agreements with the trade unions for 2009-10 had not been concluded.

In a statement last night, the company said: “Corus is pleased to confirm that it has advised the trade unions that it will pay outstanding UK bonuses for April to September 2009.

“This decision was reached partly because the company expects to achieve its upcoming financial targets, despite trading conditions remaining extremely challenging.

“Corus also looks forward to positive discussions with the trade unions about future bonus structures that will reflect the overall company position.”

Community, which had threatened legal action, said the bonus was based on agreements dating back 30 years and has always been a vital part of steelworkers’ takehome pay.

The union said that it would now sit down with Corus to talk about future bonus payments.

A spokesman said: “There is an agreement to pay the arrears and now we will have further discussions about what happens next.

“They hadn’t paid what they owed and we weren’t prepared to talk to them until they did that.”

A dispute over the company’s plans to close its pension scheme to new members is ongoing, with a meeting between Corus and unions due to take place in London on Monday.