The meeting on Friday. | Teresa Ayuga

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Negotiations for the new collective bargaining agreement for the Balearic hospitality industry formally started on Friday at the UGT union's Palma headquarters. Affecting around 180,000 workers in the hotel, restaurant and nightlife sectors, the general secretary of the UGT's Services federation, José García Relucio, observed that the two sides were separated by an "abyss". They were "far apart" in terms of working hours, salaries and social rights, and he anticipated some "very difficult" talks.

The UGT have the larger representation on the union side and have adopted a tougher position than the CCOO. They are seeking a 19% pay increase over three years - eight per cent this year and then six and five per cent - as well as a reduction in the working week from 40 to 35 hours. The CCOO haven't stipulated a pay increase and believe that a reduction to 37.5 hours will be more attainable.

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This will be the seventeenth agreement. Never before has there been a single-year pay increase of more than five per cent. The agreements have typically been for four years, the CCOO wanting this, but the UGT are seeking three years and the employers five.

On the employers' side the Mallorca Hoteliers Federation has the largest representation. Its vice-president, María José Aguiló, confined herself to saying that the agreement hasn't been worked on in depth since 2014. She hoped that the two sides will move closer and find a common position "based on a holistic vision of the agreement". Employers' proposals, she added, include "improvements to working conditions and health" as well as elements linked to flexibility, productivity and improved qualifications.

The final meeting for the negotiations is scheduled for May 22. However, García Relucio indicated that if there is no agreement by Labour Day (May the first), an assembly will be called to consider protests. Later industrial action is not being ruled out.