An Update On Economic Conditions for Travelers and the Travel Industry

The volatility of markets over the last few days has raised important questions about economic health globally, for the U.S. and for the travel industry. The U.S. Bureau of Labor Statistics released employment figures for July that showed fewer new jobs created than prior months, and an increased unemployment rate of 4.3%.

Despite these challenges, the data continues to reflect a resilient and responsive travel industry—an encouraging sign given travel’s essential role in our nation’s economic success and global competitiveness. While many travel indicators have remained positive, we recognize that the industry is not immune to overall economic trends.

Travel Industry Jobs Continue to Increase

• The travel industry, along with related sectors, has added 18,000 jobs over the most recent two reported months.
• The July jobs report shows the Leisure and Hospitality (L&H) sector now employs nearly 17 million people, up almost 300,000 year-over-year.
• With strong demand for travel, at least 1 million jobs remain open, bolstering the case for an expanded H-2B guest worker program to support small and seasonal businesses.

Strong Desire for Travel

• Demand for domestic leisure travel through the summer and into fall remains strong, with 92% of American travelers planning trips within the next six months.
• TSA air passenger screening counts continue to set records. 
  • Travel volume up 5.9% for June and July compared to last year.
  • Summer travel has resulted in at least seven record-setting days.
  • International visits continue to recover towards pre-COVID levels, with year-to-date international inbound visitors up 18% in 2024.

Travel-Related Goods Had Lower Inflation

• Based on U.S. Travel’s TPI as well as BLS economic data, inflation has cooled, and travel prices have not risen as fast as prices overall.

As the leading advocate for the $1.3 trillion travel industry, U.S. Travel will continue to analyze and communicate the impact of these economic trends on travelers, the travel experience and the industry as a whole.