Travel industry sounds alarm over how shutdown will impact Americans ahead of Thanksgiving

Hundreds of tourism and travel industry groups are warning those planning to fly this Thanksgiving holiday that if the government shutdown doesn’t end before the holiday arrives, passengers could face higher costs and increased wait times, delays and cancellations that could derail family travel plans across the country. 

Meanwhile, the groups, collectively under the banner of the U.S. Travel Association, a trade group representing the U.S. travel industry, also warned in a letter to leaders in Congress of long-term economic impacts that could hurt American workers, businesses and the economy amid the Thanksgiving holiday if the current government shutdown does not come to an end soon. The trade group estimates America’s travel economy has already lost $4 billion due to the shutdown. 

Earlier this week, the U.S. Travel Association sent a letter to Senate leaders John Thune and Chuck Schumer, as well as their counterparts in the House, Mike Johnson and Hakeem Jeffries, urging the leaders to come to an agreement and pass “a clean continuing resolution” that will reopen the government after weeks of a shutdown that has been the longest in history. Democrats and Republicans have been gridlocked over whether to approve enhanced tax credits for Obamacare passed during the COVID-19 pandemic.

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The letter warned that the longer the government is shutdown, the more money the travel economy will lose, leading to negative downstream economic impacts. Additionally, the letter, which was undersigned by nearly 500 travel and tourism industry organizations, warned that the longer the shutdown remains, the more strain airports will face from staffing shortages, which, if exacerbated further, could lead to major “chaos” as families try to fly for the Thanksgiving holiday.

“Last year during Thanksgiving week, over 20 million passengers took flights in the United States. Thanksgiving is not only a time of national tradition and family connection, but also one of the most economically important travel weeks of the year. Travel spending during the holiday generates billions of dollars in economic activity, supporting jobs, local tax bases, and small businesses nationwide. A continued shutdown is likely to significantly suppress travel demand and spending, creating a real threat to American workers, businesses, and the overall economy,” the letter to congressional leaders lamented. 

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“The American people expect and deserve a fully functioning federal government during the peak holiday travel season,” the letter continued. “Congress must act without delay to pass a clean continuing resolution to reopen the government immediately and ensure full federal operations are restored in advance of the Thanksgiving travel period. The cost of continued inaction will be felt by families, workers, businesses, and communities in every part of the country.”

Transportation Secretary Sean Duffy announced this week that his agency would order a 10% cut in flights across 40 major U.S. airports, citing air traffic controller shortages and safety concerns, ahead of the Thanksgiving holiday.

In response to the directive, U.S. Travel Association President and CEO Geoff Freeman said that while the decision showed that safety is the number one priority for the travel industry, it will nonetheless “inevitably affect the travel experience, leading to fewer flights, longer delays and more disruptions for travelers.”

“All government shutdowns are irresponsible and this decision underscores the urgent need to reopen the government,” Freeman added. “The shutdown is putting unnecessary strain on the system, forcing difficult operational decisions that disrupt travel and damage confidence in the U.S. air travel experience. The fault for this situation rests squarely at the feet of Congress.”