The travel industry has lost a full third of all the jobs lost in the U.S. and is experiencing a total impact from coronavirus that is nine times greater than the 9/11 attacks, according to new data released by the U.S. Travel Association and the analytics firm Tourism Economics.
By the end of April, declines in travel due to the COVID-19 pandemic will cause eight million jobs to be lost out of approximately 24 million for the entire U.S. economy, according to the report. Travel spending losses are on track to top $500 billion by the end of 2020, the group estimated, a decline of 45 percent for the year. The estimate includes an 81 percent drop in revenue over the next two months.
“The CARES Act was a good start, but the data shows there is still extreme and mounting pain in the American travel industry,” said U.S. Travel Association President and CEO Roger Dow. “We’re appealing for fixes, the addition of more relief, faster rules, and greater flexibility.”
Paycheck Protection Program funds have already been depleted and are in urgent need of replenishment, Dow said. “The relief program needs to fit the crisis, and we’re still learning the magnitude and intricacies of this particular crisis,” he said. U.S. Travel has asked Congress to appropriate an additional $600 billion for the PPP and extend the coverage period through December. It is also seeking expansion eligibility to include non-profits and certain other entities.
