Several hotels in the Karangasem region have decided to keep operating during the pandemic despite losing thousands of dollars every month.
The Head of Karangasem Hotel and Restaurant Association (PHRI), I Wayan Kariasa, confirmed that several accommodation businesses in Karangasem decided to avoid closure, as it might cause further damage to their properties.
“Our hotel decided to keep operating, although we there are zero bookings. We have been operating at a loss of USD $3,100 (IDR 45 million) each month since 2020,” said the man who also works as a manager at Ashyana Candidasa Hotel.
Kariasa explained that they still need to pay for the electricity, water, and building maintenance. The property might incur more damage if it was completely closed down.
The management also decided to change the employment system. Workers will now receive a salary dependent on the hotel’s occupancy.
“Workers will only get their salary based on their attendance. They only work if we have guests. We’re unable to pay their basic salary for now.” Each worker will receive USD $5.2 (IDR 75,000) for six hours of work.
Meanwhile, other hotels maintained 50 percent of their total employees, with a similar pay structure.
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