The hotel industry is bracing for fresh tensions as unions and employers clash over alleged breaches of the collective agreement signed in December 2024.

According to a report in Philenews, the issue centres on union complaints that key provisions of the deal are not being honoured.

Trade unions are heading to the labour ministry today, calling on Minister Yiannis Panayiotou to issue a clear statement urging employers to comply with the agreement.

Anything less, they warn, could endanger labour peace in the sector at the height of the tourist season.

“We want the employers to respect what has been signed. Nothing less and nothing more,” said Michalis Frangou, general secretary of the association of hotel employees and leisure centres (OEXEKA-Sek).

“The unions’ position is clear, and we expect the Minister of Labour to be equally clear,” he told Philenews.

Frangou ruled out further dialogue, insisting there is no room for negotiation.

“I do not have the authority to enter into a dialogue. What we are asking for is that the provisions of the contract, which both sides have signed, be respected,” he said.

He further warned that unions are prepared to take action if their demands are not met.

“There is no respect anymore. Not even for what we sign,” he stressed.

The dispute revolves around three main points unions say employers are violating.

These include failure to provide lump-sum payments, withholding agreed salary increases, and differing interpretations of contract regulations.

Employers argue that only the institutionalisation of the 13th salary is explicitly included in the agreement, while two other points, an increase in employer contributions to the provident fund and double pay for public holidays, are not covered in writing.

The row comes as parliament prepares to vote on the disputed regulations on Thursday, July 10, following discussions in the labour committee.

So far, no amendments have been tabled, but the situation remains fluid ahead of the plenary session.