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PALMA
THE Secretary General of the UGT, General Workers' Union, Candido Mendez, yesterday blamed all-inclusive package holidays and residential tourism for “destroying” the Balearic industry.

Addressing the 12th Balearic UGT Convention in Palma, Mendez said that residential tourism and all inclusive deals are causing more damage to the Balearic tourist industry than in any other region of Spain.

He said that the all-inclusive holiday market has this summer had a seriously negative impact on resort income and he warned that the growing residential holiday sector no longer generates the kind of revenue it used to. The debate over all-inclusive holidays has been raging for the past few years here in the Balearics and the hotels and tour operators argue that they are governed by demand, especially during a tourist season which has been rocked by the recession. Mendez told delegates attending the two-day convention at the Riskal business and leisure complex, that the Balearics has got to either improve the quality of services and products offered or follow the example of the Playa de Palma which is going to be completely redesigned and rebuilt creating jobs and attracting new tourists.