Travel agents say they are owed between €25 to 30 million in refunds from airlines.
The Oireachtas Transport Committee has heard the sector is ‘burning cash’ as it tries to refund customers for cancelled flights.
The Committee has heard that trade among travel agents is down by up 95 per cent since March.
It says they had to continue operating in order to refund customers for cancelled holidays as a result of the Covid-19 pandemic.
However it was Ryanair who were getting the brunt of the criticism, being accused of using EU legislation to delay the process of refunding travel agents for cancelled flights.
The Committee has also heard calls to reconvene the Aviation Recovery Taskforce, with the former chairperson Chris Horn saying he was open to the idea, however he would need to read the terms of reference first.