HOTEL unions yesterday responded positively to the Labour Ministry’s compromise proposal for the renewal of their collective agreement, following a lengthy national conference held in Larnaca yesterday.
The majority of employees voted in favour of the proposal, while hoteliers are expected to submit their response on Friday, when they have a meeting scheduled.
General Secretary of SEK Demetris Michael yesterday expressed his total satisfaction at the outcome and estimated that hoteliers would also back the proposal on Friday.
“Hoteliers could be even more satisfied with the proposal than employees. I’m certain that on Friday they will accept the proposal,” said Michael.
The employees accepted the proposal half-heartedly, it was reported. Although it was recognised that hoteliers had given in over Sunday pay and holiday pay, unions felt there remained many negative aspects in the proposal for employees.
“After analysing and discussing the proposal, and despite the fact that the proposal was outside their initial aims, the two unions, taking into consideration the current situation and acting once again with responsibility, decided in the vast majority, to accept the proposal, contributing in this way to the maintenance of working peace in the sensitive sector of tourism,” read yesterday’s joint announcement issued by the hotel unions.
The proposal includes salary increases from August 1, 2006 and the improvement of the minimum employment wage from January 2007, as well as an increase in Medical Care contribution.
Hoteliers and employees reached deadlock during proceedings to renew staff’s collective agreement, which resulted in unions announcing they would go on 48-hour strike on Monday.
But following the intervention of the Labour Ministry’s Mediation Service last Friday, working with both sides into the early hours of Saturday morning, a compromise solution was drawn up and the strike was averted.
Unions were angry at employers’ plans to scrap five holidays, cancel double pay on Sundays and cancel the possibility of transferring pay for a day off if it falls on a bank holiday.
At the same time, they wanted a raise in salaries, an improvement of the 14th salary – which currently stands at 30 per cent of the base salary – and an expansion of the medical insurance programme.
Hotel owners claimed they were facing increasing costs and could not afford to raise salaries and benefits as demanded by unions.
According to the compromise proposal, hoteliers have accepted to give in over Sunday and holiday pay.
Employees on their part have accepted owners’ demand for reduced pay rises.
