HUNDREDS of workers at a tobacco factory are to stage a 24-hour strike after rejecting a 2.6 per cent pay offer.

About 400 members of the Amicus union working at the Southampton plant of British American Tobacco (BAT) will walk out today as part of a campaign for a three per cent pay rise.

Strikes will be held every Wednesday until the dispute is settled, the union said.

BAT closed its factory in Darlington in June with the loss of 500 jobs. Production transferred to the Southampton plant.

John Allot, Amicus national officer, said the company was on target to make profits of £2bn this year. He said: "BAT have announced massive profits, while refusing to pay our members fairly."

Allan Short, of BAT, said: "We are very disappointed at this decision. The company has put forward a pay offer that it believes very reasonable in light of the competitive pressures faced not only by us, but by the whole European business."