STAFF employed by the Settle and Carlisle Railway Development Company - providing at-seat catering on Northern Rail services between Carlisle and Settle - are to be balloted for strike action later this week in a row over the compulsory redundancy of a long-standing member of staff who managed the service.

The man, who has not been named, lost his job after the social enterprise company - set up 22 years ago - reviewed its costs.

General manager Drew Haley said cost-cutting was necessary and the man concerned had been offered an alternative job and a "significant" voluntary redundancy package.

"This is the first time we have ever had to do this, but it is vital if we are to make the rest of the company viable," said Mr Haley.

However, the union said the redundancy announcement was an “extremely disappointing development” as RMT had a proud history. It had been involved in the campaign to save the line and supported the development of the line and the initiatives to see it grow.

It was also extremely supportive of the trolley catering service - introduced 10 yeards ago - because it enhanced the passenger experience of the journey.

The union claimed there was no justification for the redundancy as the development company was doing well financially and its key objective as a "not for profit organisation" was encourage sustainable commercial development.

General secretary Mick Cash said: “The last thing we expected was a compulsory redundancy situation - it seems the company's actions are at odds with their stated objectives, leading them into a regrettable and wholly avoidable dispute with Britain's biggest rail union.

“Astonishingly the company has cited potential rail franchise changes in 2016 as a reason for the compulsory redundancy now - when the specifications for the rail franchises will not be known until December 2014 and the franchises will not actually be let for some considerable time afterwards.

“Despite numerous requests to look at alternatives to compulsory redundancy the company has now made one of our members redundant. In these circumstances RMT has no option but to ballot our members for strike action. The union remains available for further talks.”