Workers at the Falconbridge nickel site in Canada have voted in favour of a strike following a meeting yesterday.

The decision, relayed by a union official to Reuters, was backed by two thirds of the firm's unionised production and maintenance workers, commanding a massive 98 per cent share of the vote itself.

Members say they are disappointed that problems over wages and benefits have not been settled, arguing that other skilled workers in comparable positions are much better paid.

However, Hemi Mitic, a spokesman for the Canadian Auto Workers union, said that negotiations would continue ahead of the expiration date for the current contract, which is set for January 31st.

The union's negotiations are taking place against a backdrop of 14-year high nickel prices.Reports suggest that analysts are anticipating a labour stoppage, although both sides insist there is still the possibility of a settlement before any action gets underway.