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Government Prepares Redeployment Plan for Sultan Hotel Workers

Celvin Moniaga Sipahutar
June 24, 2026 | 9:29 pm
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Workers move furniture and equipment from the former Sultan Hotel lobby in Jakarta's Gelora Bung Karno complex on June 24, 2026, as authorities begin relocating assets following the court-ordered takeover of the property. (Berita Satu Photo/Joanito De Saojoao)
Workers move furniture and equipment from the former Sultan Hotel lobby in Jakarta's Gelora Bung Karno complex on June 24, 2026, as authorities begin relocating assets following the court-ordered takeover of the property. (Berita Satu Photo/Joanito De Saojoao)

Jakarta. The Indonesian government has begun registering and verifying employees of Jakarta's Sultan Hotel as authorities move ahead with the clearing of the property, seeking to identify opportunities to redeploy affected workers once the hotel eventually ceases operations.

Deputy State Secretary Juri Ardiantoro said the government is currently collecting data on employees to determine their employment status and work backgrounds before deciding on potential reemployment programs.

“The employees are currently being registered and verified,” Juri told reporters at the Presidential Palace on Wednesday.

The verification process covers both permanent and temporary workers, including their positions and areas of expertise during their employment. The information will be used by the Gelora Bung Karno Sports Complex Management Center (PPKGBK) to determine which workers could be absorbed into future operations within the GBK complex.

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“There are permanent employees and daily workers, and we need to identify the fields in which they worked. Later, the GBK management will facilitate opportunities for eligible workers to be reemployed,” Juri said.

The government has not disclosed how many workers could eventually be retained or what positions may become available after the assessment is completed.

Despite the ongoing legal and administrative process, the Sultan Hotel remains fully operational. Guests continued to check in and out on Wednesday morning, with many arriving by taxi or ride-hailing services. Hotel staff remained on duty, including receptionists, housekeeping personnel, restaurant employees, and front-desk staff.

The hotel complex comprises 705 guest rooms and 226 apartment units and employs approximately 800 workers, making the future of its workforce a key issue in the redevelopment process.

The employee verification effort comes as authorities continue the court-ordered evacuation of the Sultan Hotel complex. Juri said the clearing process would proceed over a 30-day period in accordance with the court ruling.

Following the evacuation, the government plans to redevelop the former hotel site as part of a broader transformation of the Gelora Bung Karno district, one of Jakarta’s most valuable and strategically located areas.

Officials say the redevelopment will follow international standards and is expected to generate greater economic value while enhancing the public functions of the GBK complex.

However, the government has yet to determine the final use of the former hotel site. Authorities are awaiting a master plan currently being prepared by sovereign wealth fund Danantara, which has been tasked with overseeing the area's redevelopment.

“The president’s directive is that the area should be managed in the best possible way for greater public benefit. We should wait for the final policy,” Juri said.

Danantara CEO Rosan Roeslani said Tuesday that the government plans to demolish the Sultan Hotel and replace it with a new landmark development.

The announcement follows the government’s takeover of the property after a decades-long legal dispute with hotel operator Indobuildco. In 2023, the government declined to extend the company’s land-use rights, and a court ruling in late 2025 ordered the property to be returned to the state.

The court also ordered Indobuildco, controlled by the family of businessman Pontjo Sutowo, to pay approximately $45.4 million in unpaid land-use fees accumulated since 2007.

Government officials have stressed that the land has always remained state property and that Indobuildco only held building-use rights that expired without renewal.

Once the transfer process is completed, the site will be managed by Danantara through its hospitality holding company. The redevelopment plan extends beyond the former hotel itself and includes approximately 200 hectares of surrounding land, including the adjacent golf course and parts of the Gelora Bung Karno sports complex.

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