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In a press conference today, prominent business associations representing retail, tourism, food, and leisure sectors voiced their apprehensions regarding the recent decision by the government to amend the Employment Decree concerning the employment of asylum seekers.
According to these business groups, the move has further exacerbated the situation by limiting the number of asylum seekers who can currently work in Cypriot businesses.
During the press conference attended by representatives of the Cyprus Chamber of Commerce and Industry (CCCI) and the Cyprus Employers and Industrialists Federation (OEB), it was argued that the decision was made without adequate planning and a clear strategy for replacing the 15,000 asylum seekers who have been working in various fields across the economy in recent years.
The organizers of the press conference emphasized that while they do not dispute the correctness of the decision, they are concerned about the significant void it creates.
In the retail and wholesale trade sector, which employs approximately 75,000 people, and in the hotel and catering sectors, which together represent one-fifth of the country’s workforce, contributing over 50% to the GDP, concerns are growing.
The affected associations argue that the shortage of personnel is leading to severe understaffing in businesses, adversely affecting their smooth operation and, consequently, the overall economy.
According to the organizers of the press conference, the integration of foreign labour from third countries is essential, as acknowledged by all stakeholders, due to the lack of a local workforce.
However, they expressed dissatisfaction with the complex, cumbersome, and time-consuming licensing process for hiring foreign personnel.
Despite provisions for responding to licensing requests for foreign staff within one month, such timelines are not practically implemented.
They urged the Minister of Labour, Mr. Yiannis Panayiotou, to issue instructions for simplifying, flexibilizing, and expediting the entire process, considering the current time constraints.
They highlighted that under optimal conditions, it currently takes about 5-6 months to obtain all the required permits for foreign staff at a time when many hotel units are closed.
The business associations concluded the press conference with a message to Minister Panayiotou, urging swift action to alleviate the enormous challenges faced by businesses.
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