Reuters reported this week about half the $124 billion proposed for a national asbestos victims fund would be needed within five years, according to organized labor which is participanting in talks on creating such a fund.

It was reported the AFL-CIO analysis surprised business representatives and insurers at the negotiations trying to craft the fund to replace asbestos injury lawsuits that are said to be crippling many companies. “It appears to be a step away from the table, as opposed to a step towards agreement,” said Julie Rochman, spokeswoman for the American Insurance Association.

Asbestos defendant companies and insurers have offered up to $124 billion for an asbestos fund, but have suggested that they pay over 25 years. But the labor union’s document said that at least $60 billion would be needed in the first five years of operating an asbestos fund — with $54 billion of that needed in the first three years to deal with the big number of claims that may be filed.

Reuters further reported legislation outlining the proposed fund was blocked last week by Democrats in the U.S. Senate, who said $124 billion was not enough to compensate victims. Senate Republican Leader Bill Frist and Senate Democratic Leader Tom Daschle are steering efforts to seek a compromise.

Talks are continuing with business representatives, labor and insurers in an effort to arrive at legislation to compensate victims.