Unions accuse hotels of “renting” staff from maids to chefs

Economy hotelsTop Newstrade unionsworkers' rights Unions accuse hotels of “renting” staff from maids to chefs Waiter Waiter By The Sea Beach Waiter People 4b5882 1024 Relevant News Unions accuse hotels of “renting” staff from maids to chefs 18 August 2026 Overnight break-ins hit five businesses in Aradippou 18 August 2026 Civil Defence on full alert for wildfires with daily patrols, drone support 18 August 2026 newsroom 18 August 2026 FacebookXWhatsAppEmailPrintViber Trade unions SEK and PEO have accused hotels and leisure centres of an uncontrolled expansion of the practice of “renting” workers, saying it breaches labour law and collective agreements. According to the unions, the practice extends beyond maids and cleaners to waiters, bar and restaurant staff, kitchen workers and even chefs. SEK and PEO are calling for immediate intervention by the Labour Ministry and intensive inspections of hotels and staffing companies, warning they are considering trade union action if no substantive steps are taken by September. ‘A two-tier workforce is being created’ Some hoteliers are securing staff through agencies that bring in workers from third countries for services in other sectors, such as office and building cleaning, OYXEKA-SEK General Secretary Michalis Frangou told CNA. These workers are then placed in hotel units, he said, causing serious distortions in the labour market and creating a workforce operating at different speeds. Asked whether the phenomenon mainly affects maids, he said it extends to almost every role: “It’s maids, cleaners, kitchen,” he said, adding that it also includes bar, restaurant and housekeeping staff. Asked whether the practice extends even to chefs, he said: “This happens too, unfortunately.” Unclear how much the worker actually receives Describing how the system works, Frangou gave the example of a hotel urgently needing ten maids, which turns to an agency with workers from abroad. The hotel pays the contractor or staffing agency, but it isn’t clear, he said, how much of that money ultimately reaches the worker. “Nobody knows what’s going on,” he said, arguing that the practice undermines collective agreements, employment terms and hotel industry regulations. He described the situation as a “slave market.” ‘These aren’t isolated incidents’ SYXKA-PEO General Secretary Neophytos Timinis said the unions cannot quantify the scale of the problem numerically, since recording it falls under the Department of Labour and the Department of Labour Inspection. He said, however, that these are not isolated incidents, but a practice observed in most hotel units in coastal areas, mainly in Ayia Napa and Paphos, but also in Limassol. According to Timinis, the Department of Labour has publicly admitted it lacks the mechanisms needed to directly control the problem. He warned the situation could grow if inspections are not strengthened. He also said the ministry needs to clarify which forms of employment are permitted and carry out intensive inspections, arguing that subcontracting should not be used within hotels for services such as kitchen work, cleaning and housekeeping. No collective agreement, no benefits According to Timinis, those affected are mainly third-country nationals channelled into hotels through temporary employment agencies or job placement offices. Workers are taken on according to each unit’s needs, with no fixed employment base, while it remains unclear whether all required benefits and social insurance contributions are paid, since payment is made through the intermediary agency. “These employees are paid by the hour, with no application of the collective agreement whatsoever and no benefits,” he said. The PEO representative attributed the situation to weaknesses in the strategy for employing foreign labour, existing loopholes, and a lack of adequate oversight. Issue now with the Labour Minister The unions have already held a meeting with the Department of Labour and sent a letter to the Department of Labour Relations, requesting that the issue be regulated. Based on assurances they received from the Director of the Department of Labour Relations, the issue is expected to be brought before the Labour Minister in the coming days. Timinis said that if no steps are taken by September to resolve or at least reduce the problem, the unions will have no choice but to discuss further measures. Staff shortages don’t excuse irregularities Frangou acknowledged that the hotel industry faces a labour shortage, making clear that SEK does not oppose the employment of third-country nationals, provided it takes place through the proper procedures. He repeated SEK’s position that the strategy for employing workers from third countries needs to be revised, to close the gaps that allow irregularities and worker exploitation. He also noted that the reasons hotel businesses struggle to secure staff should be examined. Call for targeted inspections and sanctions In a joint letter to the Department of Labour Relations, SEK and PEO say the phenomenon is taking on uncontrolled proportions and is not limited to Temporary Employment Businesses. According to the unions, it also extends to companies that act as providers or suppliers of labour, placing staff in hotels and leisure centres. They are calling for extensive, targeted inspections of both staffing companies and the businesses that use their services. They are also demanding strict enforcement of the law and the imposition of the administrative and criminal sanctions provided for where violations are found. The unions warned they will not stand by passively as the sector continues to be deregulated, and that if there is no immediate intervention, they will pursue all lawful trade union and other measures available to them. Complaints also in catering and construction Similar phenomena are observed in the construction industry and in catering, according to Timinis. The unions are seeking greater transparency in the food delivery sector through the collective agreement currently being renewed. Among their demands is greater transparency in platform algorithms, to help identify cases of illegal “renting” or exploitation of workers. OMEPEGE-SEK General Secretary Charalambos Avgousti said the union is continually requesting inspections at locations where delivery riders gather to collect orders. He said ministry inspections have identified people working without the necessary documents. He clarified, however, that SEK has no information on the number of delivery riders who may also be working as waiters. The issue will be raised with the ministry during upcoming negotiations to renew the delivery riders’ collective agreement, since the employment terms for waiters differ from those for delivery workers. 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