Unions report illegal labor practices in Cyprus hotel industry

In August 2026, Cyprus trade unions SEK and PEO raised formal complaints regarding the widespread practice of "renting" staff in the hospitality sector. Union representatives, including Michalis Fragkou of SEK and Neophytos Timinis of PEO, reported that some hoteliers are bypassing collective agreements by hiring workers through third-party agencies. These agencies reportedly bring non-EU nationals into the country under the guise of industrial cleaning or maintenance services, only to deploy them as hotel staff, including chambermaids, kitchen assistants, and cooks. Unions argue this creates labor market distortions and exploits migrant workers.

Following these reports, Minister of Labour Marinos Mousiouttas declared that such actions are unacceptable, famously stating that "Cyprus is not a slave market." The Ministry has pledged to launch intensive inspections of hotels and employment agencies to ensure compliance with labor laws, promising to pursue legal action where violations are confirmed. Meanwhile, Christos Angelides, General Director of the Cyprus Hotels Association (PASYXE), stated that no formal complaints have been filed regarding their members and encouraged anyone with evidence to contact the authorities. Unions have warned of potential industrial action by the end of September if the government fails to address their concerns effectively.