Bermuda's hotel workers have accepted a wage freeze until June after a day of Union meetings.
BIU chief Chris Furbert said union staff at the island's major hotels had agreed to the request amid concerns over declining occupancy rates.
He said workers had not considered industrial action.
"How can you strike for money that isn't there?" he admitted. But he called for a renewal of the exemption on payroll tax for hotels when the current agreement ends in June.
Government agreed to waive the 4.75 per cent tax last year to give hotel owners and their staff a break because of the state of the industry.
"I think the hotel owners have got to go back to the Government and show them the numbers are not looking any better," said Mr. Furbert.
He said the union would review its position on the wage freeze and see if the payroll tax exemption was extended in June.
"The wage freeze has been accepted until June because that is when the payroll tax exemption ends," he added.
He said hotel workers accepted that sacrifices had to be made because of the economic climate.
"My priority is to keep them employed and make sure they are getting a decent living in these economic times," he said.