MORE than 440 staff at Lloyds TSB in and around Southampton were today receiving their industrial action ballot papers in the post.

They will be casting votes on whether to hit back at the high street bank, which made just under £3.5 billion profit last year, in a row over pay.

Union chiefs warn that any industrial action would have a "significant impact" upon customer service.

More than 30,000 staff are being balloted nationally under a move by the Lloyds TSB Group Union (LTU), with ballot papers due to be returned by June 30.

The pay dispute involves staff grades ranging from junior clerical to senior management.

Those excluded from the ballot include subsidiary arm Cheltenham & Gloucester, which employs hundreds of people near Fareham, and IT and sales staff.

Members of Unifi-Amicus, which represents 3,000 members of the bank nationally, are also not involved.

LTU members are being balloted on industrial action most likely to bite hardest over a drawn-out time, rather that opting for one-day strikes.

They are being asked to vote on an overtime ban and withdrawal of goodwill.

According to the LTU, staff working in the Southampton area can be paid £12,844 and fully experienced staff £13,557.

Branch managers are paid a minimum salary of £17,910, which, after experience, goes up to £18,905.

LTU assistant general secretary Steve Tatlow said: "Lloyds TSB has left staff with no option but to vote on taking industrial action.

"We don't take the prospect of industrial action lightly but staff have now reached the point where, quite simply, enough is enough.

"Morale is at rock-bottom. Staff are over-worked, over-pressurised and under-paid.

"The industrial action being proposed will have a significant impact on customer service and profits."

According to the union, the bank has a pay spend of 3.5 per cent for this year, but the LTU claims the majority of that money will be spent on lower paid staff and very little on more experienced staff with longer service.

A consultative ballot last month showed that 96 per cent of members rejected the bank's pay offer for this year, with 92 per cent calling for the union to ballot on industrial action.

Lloyds TSB, which was not immediately available for comment, says staff will receive an extra four per cent cash sum and three per cent free share allocation.

Mr Tatlow said: "This ignores the fact that this has long been an integral part of the pay package and that these benefits are significantly less than the ten per cent profit sharing staff used to routinely receive each year."

The prospect of industrial action comes at the same time as the union is in dispute with the bank over the transfer of 2,500 UK-based jobs to India.