An unprecedented crisis affecting the entire construction industry in Cyprus has been unfolding over the past 24 hours, sparked by the renewal of the collective agreement in the ready-mix concrete sector. Key points of contention revolve around granting general wage increases and overtime pay—issues the employers strongly oppose.

Specifically, workers in the ready-mix concrete industry have announced an indefinite strike, to which the employers responded with a 48-hour lockout, effectively barring workers from their facilities.

The escalation of the conflict, with employers resorting to counter-strikes, has raised concerns about the direction the dispute may take. Such a practice has not been observed in Cyprus in recent years, indicating that employers are prepared for a direct confrontation with workers. "We are at war," a professional active in the industry told Brief, adding that employers are ready for a clash unless workers and unions end their strike measures.

According to reports to Brief, employers may also bring up for discussion all issues agreed upon in previous collective agreements. Employers argue that those working in the sector are paid, on average, more than others in the construction industry.

This is perhaps the first time in recent years that employers themselves have launched a "strike" in response to a strike by their workers. The back-and-forth of strikes and counter-strikes underscores the intensity of the situation that has unfolded in recent days.

Statements from both unions and the Cyprus Chamber of Commerce and Industry (CCCI), which represents employers, highlight the tense atmosphere.

Specifically, the unions issued a statement late on Tuesday night, saying that the Administrative Boards of SEK, PEO, and DEOK Builders "wish to inform the public that the first day of the indefinite strike at ready-mix concrete plants was a great success."

According to the statement, workers remained united and more determined than ever, striking to demand that employers honor their commitments and proceed with renewing the sectoral collective agreement.

Regarding the announcement by the Association of Ready-Mix Concrete Manufacturers and other employer organizations, OEB and CCCI, the unions stated, "They more or less accuse the workers and their organizations of lacking respect for the labor force in the construction industry. We declare that even words have lost their meaning."

CCCI also issued a harsh criticism against the unions, placing full responsibility on them. Meanwhile, OEB called the unions' decision unacceptable, claiming that it holds the entire construction industry, with tens of thousands of workers, hostage to the unfolding situation. OEB warned that thousands of businesses in the contracting sector could be paralyzed.

Similarly, the President of the Ready-Mix Concrete Association, Kostas Kythreotis, said in a statement that the employers' 48-hour counter-strike was undertaken to protect the companies in the sector. He added that the association would meet later that evening to consider the next steps. Kythreotis stated that if workers lift their strike within 48 hours, the employers would also end their lockout.

Meanwhile, the Ministry of Labour is attempting to mediate to prevent a new crisis.

The strike actions directly impact around 700 workers and roughly 40 companies; however, the consequences of this "war" extend to thousands of other workers and businesses involved in the construction sector. If a solution is not found and the supply of ready-mix concrete is disrupted, all construction sites and contractors will have to suspend their work, whether on small or large projects.

The Cyprus Federation of Building Contractors Associations (OSEOK) issued a warning in this regard. According to their statement, OSEOK expressed serious concerns about the impact on the construction industry as a result of the strike measures in ready-mix concrete businesses undertaken by the unions PEO, SEK, and DEOK since November 5, 2024.

OSEOK called on the unions to "end the strike and return to the negotiating table to reach a mutually acceptable solution through productive dialogue with the employers." The statement also warned that the effects of these measures are disproportionate for contracting companies and project owners, given the impact on all parties involved. As such, the next few days could see contractors halting work on affected projects for as long as the strikes continue.

According to the statement, the Federation is at the disposal of the parties involved, ready to provide any assistance through its expertise to facilitate productive dialogue in order to find a solution to the ongoing dispute.