FORMER employees of Southampton's Harbour Lights cinema are set to take legal action against the company poised to take over the running of the movie theatre.

Altogether 40 people were put out of work when the Ocean Village cinema folded after the city council withdrew its subsidy in January.

Last week cinema chain City Screen, which is currently negotiating with the city council about subsidies, bought the assets of the failed business for £85,000.

But Bectu, the union which represents cinema employees, says City Screen is not fulfilling its legal obligations as it has failed to pay wages owed to former Harbour Lights staff.

The union also claims the company has infringed its members' rights by not offering them jobs when the cinema reopens.

Under Transfer of Undertakings for the Protection of Employees (TUPE) legislation, when a company changes ownership, all existing employees must be offered work under the same conditions of employment. Only a quarter of the original workforce has been called for interview by City Screen.

The union has also slammed the city council for not doing enough to protect the rights of the employees, who worked for the Southampton Film Company (SFC), the independent group set up by the council to run Harbour Lights.

The council denies the claims.

In a letter obtained by the Daily Echo to city council leader June Bridle, Bectu's assistant general secretary Gerry Morrissey said: "I find it incredible that a Labour-controlled council is now entering into an agreement with a company that is refusing to acknowledge their legal obligations.

"And it seems that this company is going to receive public funds."

Mr Morrissey said: "I told Mrs Bridle back in June that City Screen had ignored numerous attempts by Bectu to reach a negotiated settlement of our claim. I was told the council would be in contact with City Screen to sort this out but obviously nothing has changed."

City Screen operations manager Alastair Oatey declined to comment.

A city council spokesman said: "If TUPE applies it is between City Screen as the new employer and Southampton Film Company as the previous employer.

"Bectu has provided no justification for its argument that TUPE applies, nor that the council has any responsibility for former staff of SFC and finding them further employment.

"As long as City Screen complies with all relevant employment and industrial legislation, the council has no power to use the existence of a dispute between a trade union and an employer as a reason for excluding that employer from consideration of contracts.

"The council has been concerned at the plight of former SFC employees and has encouraged and continues to encourage City Screen to employ former staff and to discuss Bectu's claim that TUPE applies."

Council leisure committee chairman Julian Price added: "We are continuing our discussions with City Screen but we have no control over which staff they choose to employ."

Converted for the new archive on 25 January 2001. Some images and formatting may have been lost in the conversion.