Prices for package holidays in the EU are rising at record rates, as high inflation and a general cost-of-living crisis have left many Europeans increasingly unable to afford a vacation.
According to a recent joint study by the European Trade Union Institute (ETUI) and the European Trade Union Confederation (ETUC), the average cost of package holidays in the EU grew by 12.4% between January and May this year: the steepest increase since records began in 1996.
The study also found that the average cost of a four-night package holiday in Europe is €600 greater than in 2018, while nearly 20% of Europeans – or 38 million people – cannot afford to spend a week away from home this year.
In Belgium, the cost of a package holiday is now higher than the average monthly minimum wage (€1,747 vs €1,658). More than one in ten Belgians do not have enough money to go on holiday this year: roughly twice as many as in the Netherlands.
Greedflation to blame?
Vacations' increasing unaffordability was denounced by ETUC General Secretary Esther Lynch, who claimed that European and national leaders should do more to tackle the "excess profits" that are the "real cause" of Europe's economic crisis.
"A holiday is important for the wellbeing of workers but the record increase in prices will mean millions missing out on a break this summer," she said. "Meanwhile the CEOs who have caused inflation by using supply shortages as an excuse to ramp up their profit margins will be sunning themselves in luxury resorts."
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Lynch's suggestion that Europe's inflation crisis is caused by 'greedflationary' corporate profits was borne out by a recent study by the International Monetary Fund (IMF), which found that rising corporate earnings are to blame for nearly half of European price increases since the start of last year.
In addition to "imposing effective windfall taxes" on companies' profits, Lynch called for a "strengthening [of] collective bargaining" as "the best way to restore working people's purchasing power".
"Far from being a break, this summer is shining a light on the profound inequality that exists in our economy and society," she said.
