The General Workers Union said today that it was not true that it was being constantly informed about the talks that the government was having with ST, as the Finance Minister was yesterday reported as saying.

The union said it was consulted only twice, and that only happened on its insistence.

"It is now clear that the government is trying to absolve itself by making statements full of half truths, the union said.

The Ministry of Finance said yesterday that ST made made it clear from the outset to the union and the government that new investment depended on the negotiation of a new collective agreement.

The GWU said that during the 18 month period of discussions between the government and the company, some 1,000 jobs were shed.

It said it was was disappointed that a sensitive issue such as that of STMicroelectronics had been politicised in a way that was more harmful than beneficial.

It said the government had politicised the issue when the Prime Minister, accompanied by his Minister of Finance, paid a visit to the company's plant to announce the agreement on investment by the company, shortly before workers were to decide on the package of austerity measures ST wanted to introduce.

The GWU said that it started discussions with the company on April 23 when the company come out with a list of austerity measures it wanted to introduce.

It insisted that it was not the collective agreement that was discussed, but the austerity measures. The union had made it clear to the government and the company that any decisions were to be approved by the workers prior to implementation.

However, and notwithstanding how the issue developed, the GWU said it remained ready for further talks with the government and the company in the best interest of the workers, the company and the country.