Cyprus hotel workers urge immediate support as Middle East instability dents tourism

Cyprus’ hotel workers are pressing the government for immediate relief as regional instability drags on tourism, warning that the impact is already visible in hotel occupancy and could soon threaten jobs. In a statement on Thursday, the hotel workers branch of trade union Sek said uncertainty linked to ongoing tensions in the Middle East is directly affecting tourism activity.
Representing employees in hotels, catering and leisure centres, the union said the situation is beginning to weigh heavily on the sector at a critical point in the season, with geopolitical tension discouraging travel demand and creating volatility in bookings.
Recent security developments, including drone-related incidents that have unsettled travellers, have underscored the sector’s vulnerability, it added. Sek cautioned that if demand remains subdued into the early summer period, the viability of businesses could be at risk in the coming months, raising concerns about safeguarding jobs as reduced occupancy and weaker revenues may force employers to reconsider staffing levels.
The warning comes amid broader signs of strain, with recent data showing a decline in arrivals in March and a slower-than-expected recovery in demand as travellers remain cautious due to regional instability. Against this backdrop, the union urged authorities to proceed without delay with substantial support measures.
It placed particular emphasis on extending wage subsidy schemes for May and June, where a documented need is observed, arguing that targeted labour support would help stabilise the sector and prevent layoffs.
Sek also called on competent authorities to move swiftly to secure European funding support, urging the utilisation of available financial instruments, including mechanisms such as the European support fund, to bolster tourism and prevent negative developments in the labour market.
Timely adoption of measures is crucial to protect the sector and its workers, the union said. Earlier this week, employers federation president George Pantelides said the tourism industry is in a difficult and uncertain situation after the drone incident at the British base.
He noted the sector’s exposure to external shocks due to reliance on early bookings and expected regular flights, and called for targeted travel guidelines, a strengthened communication strategy, and targeted incentives for airlines to stabilise demand.
Tourism accounts for around 14 percent of Cyprus’ GDP and supports hotels, catering, transport, retail and related services, making the timing and scope of any support measures pivotal for the broader economy.
