A new national survey shows that nearly two-thirds (69%) of Americans will not travel for Christmas. And, only 3 in 10 (32%) respondents have taken an overnight vacation or leisure trip since March.
With the hotel industry on the brink of collapse, the winter holiday season will be nothing short of detrimental to an industry already facing record job loss if Congress does not provide immediate relief. Every hour Congress doesn’t act hotels lose 400 jobs and up to 3 million permanent jobs are lost and 71% of hotels will not be able to last another six months without immediate assistance according to a recent AHLA survey of hotel owners and operators.
Florida is expected to lose 336,467 hotel-supported jobs if Congress does not act. A state-by-state breakdown of job loss can be found here.
Statement from Chip Rogers, President and CEO of the American Hotel and Lodging Association (AHLA), which represents all the major hotel brands and small business hotel owners, which make up 61% of hotel properties in U.S.: “With a dramatic decline expected for holiday travel, it is all the more important that Congress pass a relief bill now. This holiday season will be an especially difficult time for all Americans, and our industry is no exception. Fewer people will be traveling, and business travel remains nearly non-existent. Millions of Americans are out of work, and thousands of small businesses are struggling to keep their doors open. We cannot afford to wait until the next Congress is sworn in for relief. They need help now. With a surge in new COVID-19 cases, it is critically important that travelers listen to the guidance of the CDC and public health officials about travel to hot spots. For those who are considering traveling for the holidays, hotels will be ready to welcome you. Through our Safe Stay initiative, hotels have enhanced our already rigorous cleaning protocols to be more transparent and give travelers even more peace of mind.”
Lisa Lombardo is available to speak about the impact to their property, job loss, what they expect over the coming months. Please let us know if you’re interested and we will set up an interview.
Please find additional information below about the upcoming travel and job loss forecast.
AHLA Survey of Hotel Brands and Small Business Hotel Owners
- A survey of AHLA members shows that the hotel industry will continue to face devastation and significant job loss without additional relief from Congress.
- Key findings showed:
- More than 2/3 of hotels (71%) report that they will only be able to last six more months at current projected revenue and occupancy levels absent any further relief, with one-third (34%) saying they can only last between one to three more months.
- 63% of hotels have less than half of their typical, pre-crisis staff working full time.
- 82% of hotel owners say they have been unable to obtain additional debt relief, such as forbearance, from their lenders beyond the end of this year.
- 59% of hotel owners said that they are in danger of foreclosure by their commercial real estate debt lenders due to COVID-19, a 10% increase since September.
- 52% of respondents stated their hotel(s) will close without additional aid.
- 98% of hoteliers would apply for and utilize a second draw Paycheck Protection Program loan.
- Every hour Congress doesn’t act hotels lose 400 jobs.
- With a significant drop in travel demand and seven in 10 Americans not expected to travel over the holidays, hotels will face a difficult winter.
- 69% of Americans said they were unlikely to travel for Christmas.
- Meanwhile, business and group travel are not expected to return to peak 2019 levels until 2023, compounding the challenges for the hotel industry during this public health crisis.
- A relief bill would be a critical lifeline for our industry to help us retain and rehire the people who power our industry, our communities and our economy.
- According to an AHLA survey conducted by Morning Consult, 69% of Americans are unlikely to travel for Christmas.
- Other key findings include:
- Only 3 in 10 (32%) respondents have taken an overnight vacation or leisure trip since March.
- Looking ahead to next year, 24% are likely to travel for spring break.
- 44% say their next hotel stay for vacation or leisure travel will be a year or more from now or they have no plans to stay in a hotel.
- Business travel has been even more impacted:
- Only 8% of Americans say they have taken an overnight business trip since March.
- Only 8% of all adults expect to travel for business within the next six months.
- Sixty-two percent (62%) of employed Americans have no plans to stay in a hotel for business.
- With fewer people traveling, and business travel remaining nearly non-existent, it’s more important than ever for Congress to pass a relief bill now.
- Millions of Americans are out of work, and thousands of small businesses are struggling to keep their doors open.