A revised pay and conditions package at BMW's Cowley plant could lead to 50 new permanent jobs.

Giving full-time status to workers on temporary contracts at the Mini factory is understood to be part of new deal being put to workers, who last month rejected a pay offer worth eight per cent over two years.

Two days of intensive talks between management and unions have led to a new package which workers will be asked to vote on.

Unions leaders are backing the new offer, but the outcome will not be known until the result of a postal ballot.

Transport and General Workers Union convenor Bernard Moss said: "We will be meeting the members on Thursday next week.

"Then it is a question of the ballot, but we are recommending they support this final offer."

About 65 per cent of workers rejected the original deal, with the main sticking points involving pay and the working time account system.

But the new package is believed to link pay in the second year to the retail price index while performance bonuses will rise from £156 a year to £260 a year from the start of 2004.

As a result, basic pay for a grade two worker could rise from £18,401 a year to £19,181 -- 8.4 per cent over two years.

It is understood the working time account could also be modified so that when staff are sent home because of production difficulties, they will not have to make up the hours until the following week.

BMW spokesman Angela Stangroom said: "We have met the unions and agreed a joint recommendation which will be put to members."