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Price gouging by tourism and hospitality sector rampant, claims Bray trade unions group

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Bray and District Council of Trade Unions has called for an urgent investigation into widespread reports of price gouging and exorbitant costs facing foreign and domestic visitors coming to our shores.

he union groups claims visitors are being over charged by the tourism and hospitality sector throughout the 26 counties.

The union group has written to the government to demand action on this matter. In adopting a motion submitted by SIPTU at their latest meeting, various factor were noted such as rising fuel costs; general inflation; staff shortages and the impact of the war in Ukraine.

These factors can all be blamed to a degree for spiralling costs that are being felt across the globe.

The groups asks, if Ireland is part of this global economic phenomena, why are prices here rising so much faster than anywhere else in the world.

Proposing the motion, Council Secretary Kieron Connolly, pointed out that four years ago the Government restored the VAT rate from the special nine per cent back to the 13.5 per cent rate.

At the time many in the industry blamed the hotels particularly for this, with Dublin properties in particular considered the culprits. The lower tax rate was subsequently restored to the sector when it was desperate for assistance during the pandemic.

Mr Connolly says Hotel operators received the same financial support as other businesses generally and, of course, staff went onto the PUP scheme.

Mr Connolly said that the Irish Hotels Federation has defended the situation, but much of their case does not stack up. He says the IHF argue that rooms for refugees are distorting market rates.

However, whilst this reduces the available room capacity for visitors and tourists, hotels don’t need to jack up rates to make up for lost capacity, as the refugee rooms are paid in full by the taxpayer.

Mr Connolly said: “Hotels are jacking up their rates because they can, not because they need to. This greed is bad for tourism, bad for our image and bad for the economy. This needs to be properly addressed by the Government. Hoteliers in particular, but not exclusively, must be reined in.”

When asked what specific actions were needed in regard to employment in the hospitality industry Mr Connolly said genuine dialogue must take place between the industry and unions to find the answers.

Another item raised serious concern at the recent meeting of the Bray and District Council of Trade Unions concerning reports that many local construction sites are failing to check workers for SafePass credentials. The SafePass is essential under Health and Safety requirements.

Proposing a motion on behalf of his union Connect,Vice-President Mick Ryan called on the Irish Congress of Trade Unions to raise this as a matter of urgency with the relevant authorities to ensure proper enforcement of this basic requirement. He pointed out that the issue affects all unions and their members. It is unacceptable that on occasions scant regard is given to SafePass on some local construction sites.

Mr Ryan said: “We have some major construction developments in the area at present, such as at Cherrywood where there are 1,500 workers on site, and there is a need to ensure that all those employed on such sites, whether directly or indirectly, have the basic SafePass certification.”

Mr Ryan clarified that the use of the Cherrywood site is merely an example of the scale of building site that can be in operation and in no way implies any issue with safety practices there.

Mr Ryan, in conclusion referenced some stark statistics: “According to the Health & Safety Authority between 1989 and 2016 a total of 1,616 work-related fatal accidents were reported to them.

“Over a quarter, 338, involved construction businesses or other businesses engaged in construction activity.

“It is important, therefore, that the failure to check this basic health and safety credential is stopped immediately.”

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