US Government Shutdown Cripples the Travel Industry

NEW YORK: The US government shutdown is taking a heavy toll on the nation’s travel industry, and the impact is deepening each day as Congress struggles to end the stalemate.

Concerns rise ahead of holiday weekend:

Due to the US government shutdown, travelers are canceling trips and avoiding airports. The situation could last for several more days or even weeks, worsening conditions for air traffic controllers and security screeners who continue working without pay. As frustration grows, more employees are calling in sick, leaving fewer staff to manage heavy travel demand.

Travel experts are increasingly worried about the upcoming Columbus/Indigenous Peoples Day holiday weekend. President of the US Travel Association, Geoff Freeman, said the timing couldn’t be worse as the shutdown hits during the busiest corporate travel season.

He warned, “If we introduce concern into the system, concern about delays, concern about cancellations, concern about TSA being less efficient, we’re leading people to stay in the office.”

He added that the uncertainty is “another reason for people to stay home, whether it’s Americans staying home or foreign travelers avoiding the United States.”

Falling confidence in US travel:

According to US Travel and Oxford Economics, inbound visits are expected to fall by 6.3 percent, dropping to 67.9 million, while domestic travel may rise only slightly by 1.9 percent.

Many international travelers are uncertain about what the shutdown means for them. The President of Travalco said, “There is some anxiety. What does that mean? Does that mean that we cannot fly? Are people not able to enter the country?” He noted that many foreign travelers are now hesitant to book trips to the US. They are not sure whether their vacations will be disrupted.

Thousands of flight delays and cancellations:

The shutdown’s impact is already visible in airports across the country. On Tuesday, nearly 12,000 flights were delayed and around 200 flights canceled, partly due to Federal Aviation Administration (FAA) slowdowns caused by air traffic controller absences.

Although Delta Air Lines reported stable operations and stronger recent sales, CEO Ed Bastian told CNBC that the company is monitoring the situation closely.

Experts warn that staffing shortages at air traffic control centers are emerging faster than during the 2019 government shutdown, creating unexpected gaps in major cities. 

Sheldon Jacobson, a University of Illinois professor, said travelers could soon face “erosion of service” as overworked air traffic controllers and Transportation Security Administration (TSA) officers grow tired and call in sick.