THE new leader of Southampton City Council faces his first big test as unions ballot for strike action over privatisation plans.

Despite saying his party is not spoiling for any fights he is set to get one from mounting union industrial action and opposition from the Labour party in the council chamber.

Councillor Alec Samuels said he would follow the "democratic process" and insisted he would not be swayed by strikes, coercion, intimidation or sabotage.

And he pledged to press ahead "in due course" with plans to axe £100,000 of taxpayer union funding.

"We are more than happy to meet trade unions at their request to discuss issues in a civilised manner," Cllr Samuels said.

Listen' "We will listen to reasoned argument but are not impressed by refusal to work in accordance with contracts which could damage the public interest.

"The people of the city will suffer as a result."

Cllr Samuels said he backed privatisation proposals which offered better value for money, better services, and better paid and motivated staff to serve the public.

"Negotiations are in train. My party supports this in principle, but would agree only if terms are acceptable".

The newly formed Unite union, the largest in the country and with 800 Southampton members, has picked its first fight over proposed privatisation and public finance initiatives in the city.

Services such as IT, tax and benefits, customer services, property, human resources, payroll, and about 600 workers could be transferred to Capita, a business "outsourcing" firm, in a ten-year deal if the council agrees in July.

The union is opposing the plan and others to "sell off other services such as street lighting, highways and city supplies under so-called partnership arrangements".

Unite spokesman John Allott, said staff pay, terms and conditions and pensions would be hit.

"The council will not have an easy fight on its hands if it persists with this foolhardy sell-off. Unite members will not sit by while their jobs are sold off and council services farmed out to the private sector," he said.

The city council's Unison branch, which has 3,300 members, is already carrying out a policy of non co-operation over the privatisation issue.

Members are ready to join a one-day walk out in June if a Unite ballot is successful.

Labour group leader June Bridle, who missed out on running the council at its annual meeting on Wednesday, said: "If the Tories have any acumen they should recognise they are being stitched up by a company that has a very poor track record when working with authorities up and down the country, and has managed to do extraordinary well out of the contracts."

She added: "We will use all legal means to stop this council getting into a deal that's bad for the city and handing massive profits to a company at taxpayers' expense."