ICTU has said that there is no logical case for the retention of the 9% ‘temporary’ reduction in VAT for the hospitality industry, as suggested in a report by the Irish Tourism Industry Confederation last week.

Congress general secretary Owen Reidy said the hospitality sector had received generous support from the taxpayer to get through the pandemic: “However, we have seen various reports of price gouging from some hotels.

“It is excessive to argue that the industry will lose jobs if the rate is restored. On the contrary, in the current tight labour market, the industry has difficulty attracting and retaining workers precisely because the industry is rife with low pay and precarious work.

“The government should not be taken in by this report. The industry would be better engaging with unions at the Joint Labour Committee - which they’ve boycotted for years - to build a sustainable industry in the interests of the consumer, the worker, and the employer. There will be no sustainable future built on the back of low pay”.