Number of Irish workers who cannot afford an annual holiday is highest in the EU

Figures show social progress being reversed as a result of increased economic inequality, European Trade Union Confederation says

'While the wealthy CEOs who caused profit-driven inflation were sunning themselves in luxury resorts at the height of the cost-of-living crisis, a single week’s holiday was beyond the means of 40 million hardworking people and their families, who struggled just to put food on the table.'

The number of workers in Ireland who cannot afford a week's holiday, either at home or abroad, has increased, according to new research. Analysis of EU data for the European Trade Union Confederation (ETUC) has found in 2022, an estimated 14.8% of Irish workers could not afford a week's holiday. 

This represented an almost 4% increase on the previous year’s figure, showing Ireland recorded the highest percentage point increase across the EU. 

The data revealed an estimated 39.7 million working people could not afford a week’s holiday in 2022 — up from 37.6 million (14%) in 2021. 

Ireland and France recorded the biggest percentage point changes, at 3.8% and 2.5% respectively. The study warned the figures for 2023 could be even worse following a record increase in the cost of holidays last summer, combined with falling real wages across the EU last year due to profit-driven inflation.

Commenting on the findings, ETUC general secretary Esther Lynch said: 

After working hard all year, working people should be able to afford a holiday. A holiday is not a luxury — having time away with family is key for protecting the physical and mental health of workers along with providing valuable experiences for children. 

"The growth in the number of working-class families who could afford a holiday was one of Europe’s great social advances of the 20th century. It improved the health and wellbeing of millions of people and contributed to a feeling of progress and optimism.” 

She said the figures showed how social progress was being reversed as a result of increased economic inequality: 

“While the wealthy CEOs who caused profit-driven inflation were sunning themselves in luxury resorts at the height of the cost-of-living crisis, a single week’s holiday was beyond the means of 40 million hardworking people and their families, who struggled just to put food on the table. 

It is hardly a surprise to see rising anger in our societies in this context. Too many people are no longer seeing the benefits of Europe’s powerful economy in their everyday lives.

She added there was an urgent need to raise the levels of workers covered by collective bargaining agreements: “It is the best way of ensuring a working people receive a fair share of the wealth they create and can enjoy something as basic a week’s holiday rather than just struggling to survive.”

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Up to three million workers have been stripped of the benefits of collective bargaining since 2000, in part as a result of austerity policies, with the biggest falls coming in countries which have the highest levels of holiday poverty. 

While more recent statistics suggest an uptick in coverage, much remains to be done. EU leaders have since adopted the Minimum Wage Directive, which requires all member states to promote collective bargaining and ensure at least 80% of workers are covered by collective agreements. 

However, a new Eurofound report said “concrete actions to promote collective bargaining coverage were only detected in a small number of countries”. 

The ETUC is warning member states the deadline to put the Minimum Wages Directive into national law is on November 15, 2024.