The NFU is to call for an emergency meeting with Defra secretary of state Margaret Beckett following the latest ruling of the Agricultural Wages Board, which will see the wage bill for British farmers and growers rise by an estimated £100m over nine months.

In its response to the ruling, the NFU said it would not be attending future meetings of the AWB until it had received assurances from the minister that it was following proper procedures.

Bob Fiddaman, who led the negotiations on behalf of the NFU, said the NFU had no confidence in the operation of the AWB or the way it determines wage increases.

Worst hit will be the labour-intensive horticulture sector, which forms about 20 per cent of the industry and will have to find 60 per cent of the increased pay award. This is because the main impact of this award will be to dramatically increase the wage bill for casual and seasonal workers.

'This latest ruling shows a total disregard for the current financial position of Britain's horticulture sector and a level of irresponsibility towards job security that is incredible,'commented Fiddaman.

'The impact this will have on our competitive position in an increasingly global market will be extremely serious.

'I fear many more jobs will be lost because the Wages Board will simply have exported our industry.' The NFU has been further angered that the pay increase runs for just nine months - from October 2002 to the end of June 2003. A second wage order will be introduced within 12 months.

Fiddaman added: 'The Agricultural Wages Board has existed for many years to provide an informed and independent view on the needs of staff and the industry's ability to meet those needs.

'This ruling demonstrates it has not listened or understood the position of the sector and calls into question its ability to perform this important role.' The wage agreement will have to be formally confirmed by the Board meeting on 29 August.

The NFU has called on the entire industry to register its anger at the ruling in writing to the AWB as a matter of urgency.

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