Public services union Unison is planning to take legal action against Moray Council after talks on implementing an equal pay agreement collapsed.
The council and union have been in discussions about the introduction of the national single-status pay scheme, aimed at bringing salaries into line with equal pay legislation.
But talks between the union and management broke down last week. Unison said a deal on compensation for mainly low-paid female staff was close to being settled, but the council pulled out.
Union spokeswoman Emma Philips told BBC Scotland: “Management advised us that they were no longer making the offer to settle equal pay settlements in the way that we had agreed.
“We’re very disappointed that this is the case because we had spent a long period negotiating this.
“As management have decided that they are unable to provide us with that settlement we are going to litigate against them.”
Moray Council said in a statement it was keen to continue talks and also focus on national discussions.