EMPLOYMENT

Cypriot businesses ask for foreign workers

Cypriot businesses ask for foreign workers

The hotel, food service and retail sectors in Cyprus have recorded over 12,000 vacancies, prompting the relevant professional associations to jointly appeal to the island’s Labor Ministry in favor of simplified procedures for hiring staff from third countries.

According to sources, this plea follows a worsened situation after the decree on asylum seekers’ employment in the labor market, despite the majority of hotels currently being closed. A clear understanding of these needs is anticipated by March, just before the official commencement of the summer tourism season. 

The primary concern is the smooth operation of businesses and improved working conditions for existing staff. Shortages in hotels and catering establishments often result in service problems and impact the economy’s growth rate. 

Marios Antoniou, secretary-general the Cypriot Retail Commerce Association (PASYLE), highlights an estimated 3,000 shortages in the retail sector. This problem is exacerbated by a decree from the labor minister in October, restricting employment for asylum seekers, especially in retail. There’s limited flexibility to employ dismissed staff from other sectors, creating challenges. 

Companies keen on hiring dismissed workers face obstacles. Work permits for staff from third countries face lengthy processes, up to six months.

The hotel industry is facing its biggest challenge, with needs estimated beyond 5,000. Cyprus Hotelier Association (PASYXE) Director-General Philokypros Roussounides reveals staff shortages ranging from 20-40%, impacting the quality of service, particularly during the summer season. Despite 70% of hotels being closed in winter, the problem persists, necessitating immediate action to simplify procedures for permits for staff from third countries.

Fanos Leventis of the Pancyprian Association of Leisure Center Owners explains a growing problem in both qualified and unskilled staff, with over 3,500 leisure centers in need of up to 4,000 workers, especially during the summer season. This translates into every food service business searching for staff, resulting in a shortage of one or two employees per business. Large investment businesses remain closed due to lack of staff, raising concerns.

According to the third-quarter data there were 12,274 job vacancies, an annual increase of 33.8%.

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