US Travel Takes $1.1 Trillion Hit; 42 Percent Off 2019

The travel industry closed the books on 2020 with $1.1 trillion in losses, a 42 percent contraction from the previous year, plunging to $1.5 trillion from $2.6 trillion, the U.S. Travel Association announced Wednesday (March 17) in a press release, citing new data prepared by research firm Tourism Economics.

Jobs relating to the travel industry dropped 5.6 million last year to 11.1 million compared to 2019’s 16.7 million, according to the release. Jobs lost in and around the travel industry accounted for 65 percent of all jobs lost in the U.S. because of the pandemic. Before the coronavirus, the travel and tourism industry in the U.S. supported employment for 11 percent of the country’s workforce.

The announcement of the data coincides with the U.S. Travel Association’s annual conference on Wednesday — Destination Capitol Hill — with Washington, D.C. lawmakers, which was held virtually. Almost 300 meetings were held online between travel industry leaders and congressional lawmakers, the release stated.

“While the gradual progress of vaccinations has provided hope that a turnaround may be on the horizon, it is still unclear when travel demand will be able to fully rebound on its own,” said U.S. Travel Association President and CEO Roger Dow in the release. “With the travel industry suffering such a disproportionate share of losses, policymakers need to understand that a nationwide economic recovery effectively hinges on a travel recovery.”

At Destination Capitol Hill, travel industry leaders and members of Congress hashed out ways to provide relief for the industry and help drive demand with stimulus efforts, according to the release. They also talked about the best way to position the U.S. to welcome tourists from abroad and how to restore business travel.

In related news, Hyatt Hotels CEO Mark Hoplamazian said he is optimistic that the industry will recover as the world gets vaccinated, PYMNTS reported. He said 2021 has already brought a steady increase in reservations, many of which have come from spring break travel. He added that business travel is also rebounding.