Tuesday, July 14, 2026

THE ISSUE OF UNDERHIRED WORKERS IS LIGHTING FIRES - HOW THE CIRCUIT WORKS








THE ISSUE OF UNDERHIRED WORKERS IS LIGHTING FIRES - HOW THE CIRCUIT WORKS - Filenews 14/7 by Angelos Angelodimou


The so-called "underletting of workers" is evolving into an issue that may lead to a disturbance of labour peace.

After the announcement issued a few days ago by the trade unions in the construction industry, yesterday the union of hotel employees of SEK followed, which raises this issue again.

In fact, according to our information, there has been a lot of discomfort in the ranks of the trade unions lately, both in relation to the issue of foreign workers from third countries, and in relation to the other pending labour issues.
The extension of collective agreements and their interconnection with public contracts, the hourly performance of the minimum wage, undeclared work, hourly workers, are issues that the unions have been putting on the table for a long time, without any settlement having emerged, with the result that there is now talk of deregulation of the wider labour market.

Returning to the issue of the underletting of workers, the unions speak of a particularly serious issue. In fact, after the rumours that circulated that the episode of Xylofagou may be related to this issue to some extent, the unions are sounding the alarm to the State.

According to the legislation, the procedure regarding the recruitment of foreign workers for the construction and hotel industries is clearly recorded. The trade unions complain that this legislation has been violated many times and now the reserves of tolerance have reached their limits.

Yesterday, in a statement, OUXKA - SEK speaks of illegal practices of underhiring employees, which are carried out in violation of the current legislation. "The essential issue is not the presence of workers from third countries in the Cypriot labour market.

The market needs rules, transparency and strict enforcement of legislation. Both tolerance and inertia are no longer an option," says OUXKA-SEK. To add that tolerance towards such practices strengthens the exploitation of workers, creates conditions of unfair competition between businesses and undermines the proper functioning of the labour market.

For all "use"

But how does the issue of underhiring workers work? According to what the trade unions complain, as well as from information we have collected, private employment agencies – possibly in consultation with employers – bring foreign workers to the country, whom they register either as domestic helpers, cleaners, or another type of profession and then temporarily "rent" them to hotels and building contractors, without a contract and with salaries, which do not correspond to the Cypriot data.

The phenomenon seems to have taken hold, which is why the trade unions in the two sectors, i.e. the construction and hotel industry, are bringing the authorities before their responsibilities, without even ruling out mobilizations.

It is recalled that a few days ago, the construction unions PEO, OVOIEK-SEK and DEOK, in a joint announcement, underlined that the phenomenon of "hired workers" constitutes a violation of the legislation on temporary employment, which prohibits this form of employment in the construction and tourism sectors. The unions also spoke of the circumvention of social funds, arguing that some employers are evading the obligations arising from the institutional framework of the construction industry.

At the same time, they warned that the workers are ready to take dynamic measures, in case the issues raised during the recent meeting with the competent Minister of Labour Marinos Mousiouttas are not addressed.

However, the issue is not a current one. Information from "F" states that the Director of the Department of Labour Relations had sent a letter on June 17, 2025 to those directly involved, drawing their attention to the provisions of the legislation on the issue of employing foreign workers in the construction and hotel industry.