POSTAL workers at a Hampshire sorting office are set to walk out in a pay dispute.

Thousands of homes would be affected by the planned strike over payments to postmen and women for the new single deliveries

About 95 per cent of the 100-strong delivery workforce balloted at the depot in Eastleigh voted for industrial action.

Last-ditch talks will now be held between Royal Mail and union chiefs to try to reach agreement.

Union leaders said the dispute centred over bosses holding back the proposed £26-a-week extra for workers as part of the new once-a-day postal system. The package was offered to take into account changing work shifts as well as mail centres meeting agreed national savings targets in staff costs.

Mail deliveries in other parts of the country have been hit by both official and unofficial strikes by workers over the past few weeks.

No date has been set for when delivery staff at the sorting office at Southampton Airport will walk out.

Post covering Eastleigh and the immediate surrounding areas is handled at the site.

Both union officials and Royal Mail chiefs said they were hopeful industrial action could be averted.

A spokesman for the Communications Workers Union said staff at the Eastleigh site felt they had met conditions to earn the extra payments.

He added: "No date has been set for taking any industrial action. Negotiations are continuing and people are hopeful there will be a settlement."

A Royal Mail spokeswoman said: "We will be doing everything we can and working hard with the union to address their concerns, avoid strike action and obviously avoid disruption for our customers."

Royal Mail introduced the changes after it said the second delivery made up 20 per cent of its costs but only made up four per cent of the overall volume of letters.