HOSPITALITY bosses are warning businesses across Scotland could lose around £50 million owing to the impact of RMT industrial action.
Executive director of UKHospitality Scotland Leon Thompson said members of the organisation have been reporting cancellations this week as the RMT strikes continue over a pay freeze and changes to terms and conditions.
Thompson said: “The rail strike is proving to be extremely damaging to hospitality businesses in Scotland.
“Members have been reporting cancellations all week as customers have been forced to change their plans.
“A further day of action on Saturday will be devastating for businesses that need to be able to trade fully.”
His comments come after RMT General Secretary Mike Lynch warned there could be further strikes if a resolution is not met.
He added: “UKHospitality Scotland estimates that the financial loss to our businesses this week will be in excess of £50 million.
“Three days of action has led to a week of cancellations and a lost weekend, leaving businesses already experiencing financial difficulties in an even tougher place.”
The Scottish Licensed Trade Association said prolonged industrial action could have an impact on events such as Edinburgh’s Fringe and TRNSMT in Glasgow.
A spokesperson for the organisation commented: “We would be very concerned if strikes are to be prolonged throughout the summer as this would seriously impact key events such as the Edinburgh festivals and music festivals taking place across Scotland as well as further hampering the night-time sector.”
Disruption is set to continue over the weekend with train services set to start later on Friday
As well as this, services will also be reduced on Sunday to a temporary timetable being in place.
Despite the warnings, some hospitality workers joined the picket lines earlier this week.
Chair of Unite Hospitality’s Glasgow branch Caitlin Lee said: “A delegation from Unite Hospitality Glasgow branch (the largest group of unionised hospitality workers outside London) joined the RMT picket line on Thursday at Central Station with their new banner in tow.
“Not just to show solidarity with what is the most important industrial dispute in a generation but to highlight that hospitality workers are some of the lowest paid in the Scottish economy.
“If the RMT win, then we all win.”
