HOTEL unions yesterday expressed concern over the possible effects of the resignation of the Cyprus Hoteliers Association (PASYXE) board on recently signed collective agreements between hoteliers and unions.
PASYXE director general Zacharias Ioannides insisted the resignation of the board would not have any detrimental effects on the industry or any other consequences because the association would continue to operate as normal until a new board was elected.
“There won’t be a gap or a period of time when no one is in office,” he said.
On Thursday, the 19-member PASYXE board unanimously resigned in protest at what they said was the negative situation in the hotel industry. Ioannides referred to multiple problems that had accumulated, as well as the complete lack of understanding from relevant.
Ioannides said PASYXE had repeatedly made appeals and issued statements and announcements referring to the industry’s lack of competitiveness, low productivity and high costs. He said they were repeatedly ignored and hinted the Tourism Ministry was to blame for failing to halt the downward slide in the industry.
But friction has also existed between the association and trade unions. In July, PASYXE voted in favour of a lockout over Labour Ministry proposals aimed at ending long-running disputes between hotel owners and staff. Unions hit back with a strike threat. The two sides were in dispute over suggestions to include a smaller hoteliers association (STEK) in staff provident and welfare funds. Eventually the parties reached a settlement and the collective agreements were signed.
PEO union’s Lefteris Georgiades said yesterday he was concerned the new board might try to overturn the agreement.
“I only hope that this doesn’t cause any problems in implementing the collective agreements. Other than that, it is an internal problem, which I hope they sort out.”
However, the SEK-affiliated Hotel Employees’ Federation said the decision did not affect the union. “It is an internal affair and we are staying out of it,” a representative said. “So far, PASYXE has only blamed the Tourism Ministry.”
Speaking from Greece on Thursday, Tourism Minister George Lillikas said PASYXE was being unfair, and that the ministry had injected millions into the industry this year, with a marked improvement between March and July, irrespective of the fact that arrivals were down 9.9 per cent from the corresponding time last year.
Ioannides would not yesterday confirm if the resignation only involved grievances with the Tourism Ministry, or if it extended to frustration with the unions and STEK. “Our statement stands as it is. The board members resigned over ‘the complete lack of understanding from all pertinent authorities’,” he said.