£300,000 pay-out the beginning of GMB's troubles

A WOMAN who claimed she was sexually harassed by a leader of Britain’s second largest union has accepted a record £300,000 settlement from the GMB.

The union capitulated at the weekend and agreed to pay Mrs Margaret McAvoy, 37, the highest compensation to result from an employment tribunal in Scotland.

Both parties were to resume the four-year battle in Glasgow in November, and the "out-of-court" deal ends an embarrassing episode for the 650,000-member union.

The bill for Mrs McAvoy’s action against her boss, Robert Parker, the former Scottish regional secretary of the GMB, is £600,000, including the cost of his legal team.

Scottish officials privately believe the union’s reputation cannot recover because it left a woman - a GMB member - to pay her own fees while it spent a fortune on Mr Parker.

And it was revealed last night that officials will face a grilling from bankers tomorrow over union debts of "several millions" which have now been added to.

There are fears that cutbacks and redundancies could result from the talks.

The union and Mrs McAvoy agreed a confidentiality clause, but Mrs McAvoy said she was "delighted" with the result, and the union claimed it "drew a line" under the affair.

However, the union’s troubles are not over. Mrs McAvoy’s case was the second of three actions centred on Mr Parker.

Earlier this year, he resigned after the union settled £50,000 with Mary Senior, a former equality officer, who said that she had been bullied by him because she supported Mrs McAvoy.

It meant the end of his campaign to succeed John Edmonds as the general secretary of the union.

In January, they face a third tribunal action involving Robert McGregor, a regional organiser in Glasgow, who claims he was accused by Mr Parker of having an affair with Mrs McAvoy and was victimised because he supported both Mrs McAvoy and Ms Senior.

Last night, a GMB spokeswoman said the union could now go forward with a new Scottish regional secretary and be "revitalised".

But a senior official, who did not want to be named, said: "A woman was cut adrift when the union decided her ‘guilt’.

"I know members, whose subscriptions funded this fiasco, regard that as appalling.

"The union may never live this saga down."

The saga began when Mrs McAvoy, a personal assistant to Mr Parker, accused him of sexual harassment.

During her tribunal evidence, she claimed Mr Parker made lewd comments, indecent proposals, exposed himself to her and pestered her for sex.

She suffered a nervous breakdown in 1999 and resigned, but then she raised a complaint claiming constructive and unfair dismissal.

Mr Parker denied the allegations, claiming he was a victim of conspiracy.

The former union leader was unaware yesterday that the case was settled and refused to comment.

His £190,000 home in Langlea Gardens, Cambuslang, is up for sale.

He has become a major embarrassment to the GMB, and officials are dreading the hearing in January.

The senior official added: "So much for drawing a line. We are wondering how much this one will cost."

Meanwhile, Mrs McAvoy said she was relieved.

She added: "I am thankful my case has been resolved. I have lost valuable, irreplaceable moments with my children.

"When I gave evidence, I told the truth. However, if it wasn’t for the support of my husband, Stephen, and my family, I would never have made it. Hopefully, I can move on."

A family friend said: "No-one realises the effect of this; not least the harassment, but the aftermath of being a lone woman against the system; remortgaging her home to pay her way, while the GMB spent vast amounts for Parker. Justice has been done."