SIPTU Division Organiser, John King, said: “According to the most recent figures the hospitality sector is booming. Despite this employers in the sector represented by the Irish Hotels Federation and The Restaurant Association of Ireland are defying Government policy and refusing to engage in the Joint Labour Committee (JLC) process.”

King added: “The Government introduced a 9% VAT rate for this sector in 2011. This has enabled increased profits. However, the Government has been stopped from ensuring workers also benefit from this upturn, through the creation of a JLC for the hotel and restaurant sector.

“The Government must state clearly that if these employers continue to subvert Government policy in this area the preferential VAT rate for the hospitality sector will be ended in the October budget. This situation needs to be tackled now. Otherwise, the Government’s entire strategy of protecting low paid workers is in real danger of being undermined.”