1,300 hotel workers to lose jobs<\/p>\n
Bambang Nurbianto, The Jakarta Post, Jakarta<\/p>\n
State-owned Hotel Indonesia and Inna Wisata Hotel in Central
\nJakarta have stopped accepting reservations since Thursday and
\nwill completely close down on April 30 as new management pursues
\na major overhaul of the hotels.<\/p>\n
The new management, PT Cipta Karya Bumi Indah (CKBI), a
\nsubsidiary of cigarette giant Djarum, will take over the hotels
\nfrom PT Hotel Indonesia Natour. As a result of this transfer, the
\ntwo hotels' 1,300 employees will lose their jobs.<\/p>\n
PT Hotel Indonesia Natour president director A.M. Suseto said
\nthe dismissal of the workers was related to the build-operate-
\ntransfer agreement signed by the government and CKBI in mid-
\nFebruary.<\/p>\n
\"We cannot employ them because the management of the hotels
\nwill be taken over by the new investor,\" he said.<\/p>\n
With the closure of the hotels nearing, workers are upset over
\ntheir impending dismissal and hope to be given back their jobs
\nafter the renovation work is completed.<\/p>\n
\"I have been working here for 11 years. I'm 28 and it's not
\neasy to find the same job out there at my age,\" said a Hotel
\nIndonesia food and beverage employee.<\/p>\n
Hotel Indonesia Workers Union head Sahrul Sidiq said that
\naccording to the union's calculations, each worker should receive
\nbetween Rp 17 million (US$1,977) and Rp 75 million in severance
\npay.<\/p>\n
Suseto, however, said the management was only willing to offer
\nmuch lower severance pay packages that were more in line with
\nArticle 163 of Law No. 13\/2003 on manpower.<\/p>\n
\"We can't accept (management's) offer because most workers
\nhave worked in the hotels for more than 10 years,\" Sahrul said,
\nadding that because the hotels were still turning a profit,
\nworkers should receive larger severance packages.<\/p>\n
Suseto confirmed the two hotels combined for a Rp 2 billion
\nprofit last year.<\/p>\n
PT CKBI will invest Rp 1.3 trillion in the Hotel Indonesia
\nrenovation and the construction of a supermall on the site where
\nthe Inna Wisata Hotel now stands.<\/p>\n
Suseto said the CKBI planned to return Hotel Indonesia's Bali
\nwing and canopy to their original design when they were
\nofficially opened in 1962. He also said the size of the hotel
\nwould be reduced from 600 rooms to 300 suites only.<\/p>\n
The construction of the supermall will begin in June and is
\nexpected to be completed in 15 months.<\/p>\n
Suseto could not say when renovation work on Hotel Indonesia
\nwould begin as they are still awaiting the necessary permits.<\/p>\n
Hotel Indonesia was built during founding president Sukarno's
\nrule to host participants of the fourth Asian Games in 1962. The
\nhotel was the first high-rise building in the capital and is
\nlisted as a protected heritage site.<\/p>\n
Any renovation work on heritage sites requires a permit from
\nthe Jakarta Cultural and Museum Agency.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/1300-hotel-workers-to-lose-jobs-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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