Staff Outraged As Bali Hotel Lays Off 380 Employees With Little Notice

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The Grand Inna Bali Beach Hotel in Sanur has laid off 380 staff with a moment’s notice, causing understandable outrage and upset for hundreds of families across Bali. 

Local newspapers have reported that on Monday 25th July employees were summoned to a meeting where they received the news from the management team. Employees were then handed letters confirming that they had been laid off.

The hotel is undergoing significant building works and renovations and is believed to be closing its doors while this work is underway. 

The news came as a shock to Grand Inna Bali Beach Hotel staff as just two months ago the hotel confirmed to their team that updates were being made to the layoff policy but did not suggest that redundancies were imminent. 

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The staff has lodged an official complaint to the Indonesian House of Representatives. The member of the house who has taken on their case is I Nyoman Parta.

He explained to the local newspaper RadarBali that ‘“Why are they surprised and refuse to be laid off unilaterally? Because two months earlier, on April 25, there was a decision between the Workers and the Board of Directors of PT Hotel Indonesia Natour (HIN) Number: 0012/KD/DH/HIN/VI/2022 regarding the Policy to Lay Off Employees at Grand Inna Bali Beach Hotel’. 

Parta explained that although the Grand Inna Bali Beach had put support measures in place for the 380 staff they are laying off. Though when they received the letters ‘it was clear they refused to be laid off’. The conditions of the new policy state that in this instance are that staff must ‘get a wage (Basic Salary) regularly every month starting from the worker being laid off until [they’re] was rehired or the revitalization was complete. Second, workers have the right to be rehired without a recruitment process’. 

It is believed that these conditions do not extend enough support for staff who are dependent on receiving their full salary, rather than a significantly reduced basic wage. The Grand Inna Bali Beach Hotel is a state-owned enterprise and is therefore controlled by the Ministry of State Owned Enterprise, in this case, the local government in Bali. 

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The Grand Inna Bali Beach Hotel is a popular holiday resort for both domestic and international travelers. The hotel currently a wide range of rooms, including family rooms and lavish suites. The traditional rooms have a private balcony and en-suite. The Grand Inna’s design incorporated typical Balinese design elements and offers guests a safe and comfortable place to stay as they explore the Island of the Gods. The resort, that offers all inclusive options, is situated right on Sanur Beach.

Although the hotel caters to both international and domestic travelers, it is the South East Asia market that the Grand Inna Bali Beach Hotel focuses on most, offering targeted accommodation and all-inclusive deals. The hotel is located a 30-minute drive from Bali’s Ngurah Rai International Airport making it a convenient getaway for short-stay visitors.

After lockdown closures and a slow period of reopening hotel staff across Bali are reliant on their work remaining consistent in the coming months. It is the case for many families in Bali that one or two family members of working age financially support their immediate and extended family with their wages.

News of 380 employees being laid off, however temporarily, will create an impactful financial loss that will be felt by 380 extended families, not only the employees.

The Grand Inna Bali Beach has not released a statement about its layoffs. Local newspapers did not confirm which department had the most layoffs. With 380 people being sent home it seems that the layoffs are being made across the hotel, from housekeeping to kitchen, from reception to operations. 

Parta ended his interview with local newspapers saying that he will defend workers. He confirmed that no worker should be treated arbitrarily, especially by a state-owned company. He vowed to ensure that the policies in place to protect workers would be honored to help support both the employees and their dependents.

The Grand Inna Hotel in Kuta, remains open and fully operational as the Sanur branch of the hotel company undergoes renovations. The Grand Inna Hotel in Kuta is the sister hotel to the Grand Inna Bali Beach in Sanur,