Labour Minister Yiannis Panayiotou on Wednesday evening did not hide his concern for the fate of the construction industry, after cement workers’ unions threw out a mediation proposal he submitted aimed at halting the ongoing strike.

“The unions’ decision to reject the mediation proposal, bring back their initial demands and continue striking does not help deescalate the situation and does not help us reach an agreement.”

Following the developments, Panayiotou had meetings with both the cement workers and their employers.

“The unfolding situation is concerning,” he said, and as part of efforts to evaluate matters, another meeting will take place on Thursday morning.

The association of ready-mixed concrete manufacturers had agreed to the proposal and set certain conditions. Sek and Peo unions rejected the proposal outright.

The chamber of commerce (Keve) condemned the unions’ decision, saying the minister’s proposal would have given them a 13 per cent pay increase.

It called on them to consider the consequences of their decision. “Otherwise, they will bear full responsibility for the catastrophic consequences.”

Extending the strike measures keeps the construction industry hostage to the concrete workers and has a negative impact on the economy, Keve said.

“Despite the disagreements that still exist, despite the efforts that have been made, restoring normalcy in the sector and the supply of ready-mixed concrete to the construction industry is essential to ensure the stability of the Cypriot economy,” Panayiotou underlined.