Hospitality employers must enter talks for new JLC
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The Minister for Finance, Michael Noonan should withdraw the reduction in VAT from 13.5% to 9% given to hotel and restaurant employers in 2011 as they have failed to pass on the real financial benefits it has achieved to customers, employees or the exchequer and because they have refused to enter discussions on a new Joint Labour Committee for the sector.
The Irish Hotels Federation and the Restaurants Association of Ireland have recently complained of a shortage of skilled labour to meet the demand arising from these positive industry figures for the sector, including of chefs. However, their insistence on driving down wages and conditions of employment over the past five years has contributed to the shortage of qualified and skilled workers in the hospitality sector.
A new Joint Labour Committee would set fair wage rates and conditions for workers in hotels and restaurants across the country. Although it is government policy that the workers in these industries should be covered by a JLC, employers have been given an effective veto over this by refusing to engage with trade unions and the labour relations machinery of the State. This veto needs to be removed.
That is why SIPTU has called on the Minister to withdraw the favourable VAT reduction policy given to hotel and restaurant owners unless they immediately agree to enter discussions on a new JLC for the hospitality sector.
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