Why do they have such a stranglehold in Cyprus?
IF THERE is one thing Cyprus is not short on, it’s unions.
With a workforce far smaller than major European powerhouses such as Great Britain, Germany and France, Cyprus nevertheless stands out for its unions and their industrial muscle.
There are around a hundred different unions currently active in Cyprus with the two biggest unions being the Pancyprian Federation of Labour (PEO), which is a left wing group, and the Cyprus Workers’ Confederation (SEK) which is a right wing group.
Other large unions and federations include the Democratic Labour Federation of Cyprus (DEOK) and the Pancyprian Public Servants’ Trade Union (PASYDY).
Some of the big unions also branch out into sub-unions operating under their wings.
Rivalry between SEK and PEO is a historical tradition and it is believed that both unions are against releasing the exact figures of their members in case they are less than the other’s.
The unions in Cyprus range over the vast spectrum of employment, from the Cyprus Builders’, Carpenters’, Metal Workers’ and General Workers’ Union of PEO to the Cyprus Hotel Employees’ and Entertainment Centres’ Union, to the Cyprus Actors’ Union.
Some other unions could be regarded in some circles as out of the ordinary or maybe even outlandish.
According to the official list of unions on the island, registered unions include the Personnel Union for B.E.M.R.S. private radio station in Limassol, the Union for Part-time Government Employees at the Defence Ministry, the Old People’s Home Owners’ Union and the Pancyprian Union for Launderette Owners.
There is even a union for church chanters called the Pancyprian Union of Church Chanters ‘Ioannis O Koukouzelis’.
In some cases, like for example metal workers, the employees even have the option to decide whether they want to join a right or left wing backed union.
Commenting on the strength and numbers of the unions, Economic Analyst Dr Stelios Platis says that “the unionisation in the gainfully employed population in Cyprus is 70 per cent. That is a large number if you compare to Britain where the percentage is around 35 to 40 per cent.”
But not everybody has the right to strike, according to Union Supervisor Andreas Christodoulou, who told the Sunday Mail, “According to article 27, paragraph 2 of the constitution, armed forces are not allowed to hold strikes, nor are certain sectors of the public service”
Not to confuse anyone, but people working for unions also have the right to strike should they feel hard done by. “This is a complex issue,” said Christodoulou, “but people who work for the unions are workers themselves and, of course, have the right to strike should they ever need to.”
The strength and history of the Cyprus unions
To put things into perspective, a nationwide simultaneous strike of the bank, airline and electricity unions could see the government literally brought down to its knees.
As things currently stand, Cypriot unions are among the most powerful in Europe along with unions from the Scandinavian countries.
So how did they get this powerful and where will it all end?
To answer that question, you have to look back to the British colonial days of Cyprus up to independence in 1960.
“The unions, comprising mostly Cypriot workers in the civil service, had adopted the protection of unions against what they felt was the oppressive rule of the British Empire in Cyprus,” said Dr Platis.
“But when the island finally gained its independence, the Cypriot government quickly discovered that the unions had become powerful organisations and were incapable of handling any possible reprisals.”
Little has changed today, and experts compare the union situation in Cyprus to Great Britain in the eighties, when nationwide strikes were rife.
Experts believe that will all change in coming years, although the unions may have something to say about that.
Only last month, The National Bank of Greece (NBG) was temporarily put out of action by a strike orchestrated by the Cyprus Union of Bank Employees (ETYK) and its head Loizos Hadjicostis.
Government officials are still mediating talks between the bank and ETYK.
Such actions are rare in other EU member states but in Cyprus it appears that taking to streets or walking out on jobs is an all too familiar calling card when trouble brews in the employment sector.
Platis added that the strength of a union stems from whether its members have collective agreements with their employers. This is the labour contract between an employer and one or more unions.
These kinds of agreements are applied to jobs such in the public sector and banks – giving unions in these domains such a tight threshold on public infrastructure.
Starting up a union
Actually putting together a union is not as difficult as some may think, but there are disciplines that need to be kept intact in order to maintain its correct operation.
To start up a union or federation, members need first to have a meeting and unanimously decide to start a union. Then, they need to elect a board, chairman, general secretary and other various members, as well as create and approve their union constitution.
An application would the have to be made to the union supervisor along with two copies of their constitution and two lists of the applying union members.
The application would then be reviewed and looked into.
“In order for a union to be accepted, there has to be evident proof that it will be totally organised,” says Union Supervisor Andreas Christodoulou.
Some examples of union wrath in the last three years:
2004 – : Various Cyprus Airways (CY) staff staged and continue to stage strikes at the island’s airports against rapid government and CY board decisions.
Cost of protest: Flight delays resulting in chaos for tourists at the airports of Larnaca and Paphos.
There was trouble at the island’s main national airline after belt-tightening measures, such as job cuts, to help save the ailing carrier were enforced by the airline in reluctant compliance with all the various airline unions.
But problems still mounted for the airline with the various unions unhappy with some of decisions of the CY board.
Protests from the many CY unions began as early as 2004.
In 2006 CY pilots staged several to protests against what they claimed was the deliberate undermining of the national carrier by the Board of Directors as well as broken promises by the airline. At the time, President Tassos Papadopoulos had stated his fears that the pilots could have bankrupted the airline.
In 2007, CY airport staff went on a two-hour strike in protest against the company’s charter subsidiary Eurocypria’s decision to allocate its customer services to a private company instead of the state airline.
2005: Potato growers block off the Nicosia – Larnaca and Larnaca – Ayia Napa motorway
Cost of protest: Costs to the economy were minimal but the protests interrupted traffic on the island’s main highway and caused massive traffic jams for several days
Potato growers around the island had been demanding subsidies from the government and cash incentives to leave the failing profession, totalling around £27 million. But the action plan designed by the Ministry, which was part of a broader Rural Development Plan, saw just £5 million given to the potato growers, an amount they were not accepting even to discuss with the Ministry.
The farmers initially blocked off motorways before finally retreating to the sides of the motorway. The protests finally ended in late December 2005 after 52 days of being camped out on the island’s main motorways
after a higher compensation package was agreed with the government.
2007: Truck drivers take to the streets and block ports as well as factory and road exits
Cost of protest: Around £25 million to the economy
Police and truck drivers clashed after they blocked off ports and motorway exits in demonstration. The Truckers were demanding the retraction of 209 ‘B’ licences. The striking drivers, who were holders of ‘A’ licences, had claimed that ‘B’ licence holders were illegally taking away their business. ‘B’ licences are only issued to private businesses who need trucks to transport their good or products. Holders of the licences are not allowed to take on any jobs unrelated to their company.
Essentially, what the strikers were demanding was that ‘B’ category license holders should not have access to quarries, harbours and cement factories.
During the protests, a brawl broke out at the Vasiliko cement factory’s gate between the striking drivers and police officers. One person was placed under arrest, and another suffered a heart attack and was rushed to Larnaca’s general hospital.
Five trucks managed to break through and enter the factory, as police called in reinforcements to ensure the vehicles could later leave the premises.
Similar but uglier scenes unfolded at the Moni cement factory.
2007: Bank union strike forces temporary closure of bank operations
Cost of protest: An estimated £1million in damages to the bank and the disruption of bank operations.
The National Bank of Greece (NBG) was temporarily put out of action recently by a strike that was orchestrated by the Cyprus Union of Bank Employees and its leader Loizos Hadjicostis.
The union had claimed that the bank should have consulted before hiring two employees from Greece, according to collective agreements in force in the banking sector.
The union alleged that it was worried that local staff may be passed over if people are brought in from abroad.
NBG’s management had in turn insisted it had the right to hire anyone for any amount of time, needing permission only from the Labour Ministry. The bank had also cited the EU acquis on the free movement of labour.
The deadlock resulted in the bank being officially out of action for two weeks and, as a result, the bank was on the brink of closing down. The closure also meant that clients couldn’t access their bank accounts and a result, the bank officials claimed that they lost business.
Government officials are still mediating talks between the bank and ETYK.
2007: Employees of the Cyprus Electricity Authority (EAC) have warned to take dynamic measures
Costs of protests: Still unknown
The government is keen on an offshore unit, which it says will cost less and be ready much earlier than a land terminal, which would be completed no earlier than 2014. In this way, says the Ministry of Trade & Industry, Cyprus can more quickly switch to natural gas from the more expensive diesel fuel.
The EAC disagrees and conducted a 24-hour strike on Wednesday after ministerial committee decided to initiate tenders for the offshore storage facility.
