In a significant development for Cyprus’s tourism industry, hotel associations PASYXE and STEK announced that hotels are set to operate without staffing shortages this year. This assurance follows a series of effective actions by the Ministry of Labour, which expedited the work permit process for foreign workers. Labour Minister Yiannis Panayiotou highlighted that, by the end of May, over 95% of applications had been processed, reducing the average permit processing time from over five months to less than two.
This accelerated process is a result of enhanced IT systems and strategic international agreements, addressing the critical labour needs of the tourism sector. The Ministry’s proactive measures ensure that the industry’s staffing requirements are met, allowing businesses to maintain high service standards during the peak season. Additionally, efforts to utilise local labour have contributed to a decrease in unemployment, though the domestic workforce alone cannot meet the sector’s extensive demands.
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The successful collaboration between the Ministry, tourism associations, and other stakeholders has led to these improvements. The agreement for better coordination among social partners played a crucial role, demonstrating the effectiveness of collective efforts in resolving labour market challenges. The Deputy Minister of Tourism, Kostas Koumis, also acknowledged the broader significance of these improvements, noting that labour issues affect tourism industries globally.
This development is expected to help Cyprus achieve another successful tourism season, following a record-breaking year in 2023. The continued focus on efficient permitting processes and collaboration between the public and private sectors will be essential for sustaining growth and ensuring the competitiveness of Cyprus’s tourism industry.
