UNION officials are to meet managers of a strike-hit dump truck factory at the conciliation and arbitration service Acas in a bid to resolve the dispute.

News of the Acas talks emerged yesterday, as industrial action was stepped up by the 500 production workers at the Caterpillar plant, in Peterlee, County Durham, as part of a pay and conditions row.

The workforce, members of the engineering union Amicus/AEEU, have staged 24-hour strikes over the past five Tuesdays.

Having failed to achieve any acceptable improvement in terms from the American-owned company, they stepped up the action yesterday by striking for a second time this week.

Hundreds of workers gathered at the gates of the factory, on the North-West Industrial Estate, to sign a motion expressing "no confidence" in Caterpillar's American managing director Dick Cooper.

Amicus/AEEU regional secretary Davey Hall visited to offer support to the striking workers, accusing the company of adopting an "intransigent" attitude over recent months, following 29-trouble free years at the site.

News emerged later in the day of the company's agreement to attend the Newcastle offices of Acas, next week.

Last night, Kelvin Wood, the Amicus/AEEU works convenor at Caterpillar, described it as, "a step in the right direction".

Mr Wood said the first meeting at Acas's Westgate Road premises is pencilled in for Wednesday, with a view to a second get-together two days later.

He said: "It would be nice to think we can have some good news on Wednesday. We're just hoping we can reach an acceptable agreement."

No one was available to comment from the management side yesterday.