MORAL COMPASS: Great Places to Go Where the Going Does Good

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Hotels & Resorts, Importance of Tourism, Travel industry

Travel Industry Sees Passage of Biden’s American Rescue Plan as Critical

February 6, 2021 MoralCompass

The U.S. Travel Association and American Hotel and Lodging Association joined the growing list of business leaders and economists who see President Biden’s American Rescue Plan as critical to addressing the economic crisis caused by the pandemic.

The travel industry supports 15.8 million or nearly 1 in 10 American jobs. In a report, the U.S. Travel Association noted in a report that COVID-19 has devastated the travel industry more than any other sector of the economy. In order to get Americans back to work and safely resume travel, the U.S. Travel Association President and CEO said that there has to be immediate action to pass the American Rescue Act.

Robert Dow, U.S. Travel Association President and CEO praised the American Rescue Plan in a speech yesterday, saying “We are encouraged by the measures to provide additional grants and loans to small businesses in the hardest-hit industries, which include travel. The Paycheck Protection Program is set to expire in March, but the economic hardships of the pandemic will persist, so it is important that struggling businesses continue to receive aid to maintain operations and keep workers on payrolls.”

Dow added “there are important components contained in President Biden’s American Rescue Plan to help us rebuild, such as providing grants for the hardest hit industries, including travel. Also included in the President’s proposal is additional funding for vaccine distribution which we know is vital to helping travel businesses more robustly reopen.”

And, the market data analyst, STR, recently said that the American Rescue Plan’s proposal for widespread vaccinations would help get the industry back on track “these opening months of the year are going to resemble some of the :slowest of 2020, but we are optimistic that hotel demand will improve as vaccine distribution becomes more widespread and travel confidence grows,” said Amanda Hite, president of STR. “While the early indicators should be visible in Q2, we expect Q3 to be the point where leisure travel shifts into high gear and corporate and group business show more progressive improvement. That will feed into a 2022 that shows a higher level of recovery.”

Meanwhile, the American Hotel & Lodging Association released AHLA’s State of the Hotel Industry 2021” outlining the forecasted state of the hotel industry in 2021 and into the immediate future. The report examines the high-level economics of the hotel industry’s recovery, the specific impact on and eventual return of business travel, and consumer travel sentiments.

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Hotels & Resorts, Importance of Tourism, Travel industry, Uncategorized

Hospitality Industry Links Travel Demand for 2021 with COVID Vaccine Distribution

February 6, 2021 MoralCompass

56% Expect to Travel for Leisure; Business Travel Not Expected to Return Until 2024; Consumer Comfort with Travel Linked to Vaccine Distribution

*The hospitality industry sees the outlook for travel demand as linked to the availability of COVID vaccination (c) Karen Rubin/goingplacesfarandnear.com*

WASHINGTON – The American Hotel & Lodging Association (AHLA) released “AHLA’s State of the Hotel Industry 2021” outlining the forecasted state of the hotel industry in 2021 and into the immediate future. The bottom line is that the industry’s recovery is linked to the availability of COVID vaccinations.

The pandemic has been devastating to the hospitality industry workforce, which is down nearly 4 million jobs compared to the same time in 2019. While some 200,000 jobs are expected to be filled this year, overall, the accommodations sector faces an 18.9% unemployment rate, according to the Bureau of Labor Statistics. In addition, half of U.S. hotel rooms are projected to remain empty in 2021.

Business travel, which comprises the largest source of hotel revenue, remains nearly nonexistent, but it is expected to begin a slow return in the second half of 2021. Among frequent business travelers who are currently employed, 29% expect to attend their first business conference in the first half of 2021, 36% in the second half of the year and 20% more than a year from now. Business travel is not expected to return to 2019 levels until at least 2023 or 2024.

Leisure travel is expected to return first, with consumers optimistic about national distribution of a vaccine and with that an ability to travel again in 2021. The report found that heading into 2021, consumers are optimistic about travel, with 56% of Americans saying they are likely to travel for leisure or vacation in 2021. While 34% of adults are already comfortable staying in a hotel, 48% say their comfort is tied to vaccination in some way.

The top findings from this report include:

Hotels will add 200,000 direct hotel operations jobs in 2021 but will remain nearly 500,000 jobs below the industry’s pre-pandemic employment level of 2.3 million employees.
Half of U.S. hotel rooms are projected to remain empty.
Business travel is forecasted to be down 85% compared to 2019 through April 2021, and then only begin ticking up slightly.
56% of consumers say they expect to travel for leisure, roughly the same amount as in an average year.
Nearly half of consumers see vaccine distribution as key to travel.
When selecting a hotel, enhanced cleaning and hygiene practices rank as guests’ number two priority, behind price.

“COVID-19 has wiped out 10 years of hotel job growth. Yet the hallmark of hospitality is endless optimism, and I am confident in the future of our industry,” said Chip Rogers, president and CEO of AHLA.

“Despite the challenges facing the hotel industry, we are resilient. Hotels across the country are focused on creating an environment ready for guests when travel begins to return. AHLA is eager to work with the new Administration and Congress on policies that will ultimately help bring back travel, from helping small business hoteliers keep their doors open to ramping up vaccine distribution and testing. Together, we can bring back jobs and reignite a continued investment in the communities we serve,” said Rogers.

The resurgence of COVID-19, the emergence of new strains, and a slow vaccine rollout have added to the challenges the hotel industry faces this year. With travel demand continuing to lag normal levels, national and state projections for 2021 show a slow rebound for the industry and then accelerating in 2022.

The hotel industry experienced the most devastating year on record in 2020, resulting in historically low occupancy, massive job loss, and hotel closures across the country. Hotels were one of the first industries affected by the pandemic after travel was forced to a virtual halt in early 2020, and it will be one of the last to recover. The impact of COVID-19 on the travel industry so far has been nine times that of 9/11.

Download the full report here.

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Hotels & Resorts, Uncategorized

Hotel Industry Offers to Provide 50,000 Sites to Administer COVID-19 Vaccine

January 15, 2021 MoralCompass

*America’s hotel industry is offering to provide sites to administer the COVID-19 vaccine © Karen Rubin/goingplacesfarandnear.com*

America’s hotel industry is offering to provide up to 50,000 sites to assist in the rapid administration of the COVID-19 vaccine, in partnership with public health departments.

In a letter to the Biden Transition Team, Chip Rogers, President and CEO, American Hotel & Lodging Association, writes, “America’s hotels stand ready to work alongside America’s governors as states continue to move forward in administrating the COVID-19 vaccine. By quickly mobilizing an existing network of sites, hotels can help strengthen the delivery and distribution of the COVID-19 vaccine in communities across the country to better streamline and build on current state efforts.”

The AHLA has a “Hospitality for Hope” initiative which has infrastructure in place to support public health agencies and private sector partners through a network of 20,000 hotels that could be used as locations to administer the vaccine.

In the letter, which is also sent to Governor Andrew Cuomo, Chair, National Governors Association;
Governor Asa Hutchinson, Vice Chair National Governors Association; Moncef Slaoui, Operation Warp Speed; Dr. Robert R. Redfield, Centers for Disease Control and Prevention; Alex Azar, Secretary of Health & Human Services; and the US Conference of Mayors, Rogers writes:

“As you know, administering the vaccine on a national level will be a significant undertaking requiring innovative solutions and collaboration. To aide in the distribution, the hotel industry is asking that hotels be considered as an option for vaccine administration sites in partnership with public health departments.

“Hotels have existing infrastructure and operational capabilities to serve as vaccine administration sites and capacity to assist. The American Hotel & Lodging Association (AHLA) under its “Hospitality for Hope” initiative has the infrastructure in place to support public health agencies and private sector partners through a network of more than 20,000 hotels which could be quickly ready serve as locations to administer the COVID-19 vaccine. Through this program, the hotel industry has already successfully partnered with federal and local governments to provide assistance to those in need, including frontline and emergency workers as well as state and municipal public health departments.

“The hotel industry is ready to step in and assist our community and alleviate the current burdens on our health systems in a time of national need and has the following capabilities:

Geographic reach: With more than 50,000 hotels in every state, including properties located in cities, suburbs, and rural communities, hotels have the geographic reach to support a wide distribution of the vaccine.
Available Capacity and Operate 24/7: Hotels have private rooms, meeting rooms, conference and ball rooms as well as outside areas, hotels are equipped for 24-hour operations to allow for round-the-clock vaccination administration. This will also ensure there is adequate space to maintain physical distancing, capacity limits and other safety protocols. Further, as hotels are currently running at less than 50 percent occupancy rates, families or individuals who might be traveling to receive the vaccine will have access to comfortable and flexible lodging options should they need
Comprehensive cleanliness protocols: The industry has also adopted AHLA’s Safe Stay, an enhanced cleaning initiative that builds on the hotel industry’s long-standing commitment and operations procedures to ensure the safety of guests during the ongoing public health crisis.
Infrastructure: Hotels also offer ample parking and are often accessible from major transportation networks, including highways and public transportation routes. Hotels also have outdoor capabilities that can provide safe, weather-proof vaccination services where parking lots could be utilized for vaccination administration, similar to drive-thru testing sites.
Refrigeration Capabilities: With many hotels being temperature controlled and the majority of hotels having refrigeration capabilities to store vaccines, issues concerning vaccine storage will be limited or can be quickly addressed to meet the requirements necessary for safe and effective vaccine storage.

“Since the start of the pandemic, our industry has been on the frontlines to support national public health and safety priorities. AHLA launched the ‘Hospitality for Hope’ initiative in early 2020, identifying more than 20,000 hotels willing to provide temporary housing for emergency and healthcare workers during the COVID-19 public health crisis. The initiative identified a total combined 2.3 million rooms located in close proximity to established healthcare facilities for frontline workers to use as they worked around the clock to save lives and provide lodging for those exposed to COVID to quarantine safely. Additionally, as part of this effort, hotels are supporting the national guard by providing lodging to those who Washington D.C. and surrounding region to provide additional security around the inauguration.

“With the next phases of vaccination distribution underway, hotels have the unique capability to help provide additional locations to assist with the administration of the vaccine. As an industry, we have always stepped up to help our neighbors and communities in a time of need, including early-on in the pandemic through Hospitality for Hope. The industry looks forward to continuing this work in partnership with the public and private sector to support this next phase of recovery.”

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Hotels & Resorts, Importance of Tourism

Hotel Industry Renews Call for Congress to Pass Another COVID Relief Bill Amid Dismal Holiday Travel Forecast

November 15, 2020 MoralCompass

The hotel industry was the first impacted by the pandemic and will be one of the last to recover and is appealing to Congress for COVID-19 relief. The industry is assuring travelers “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.” (c) Karen Rubin/goingplacesfarandnow.com

WASHINGTON (November 12, 2020) – A new national survey commissioned by the American Hotel & Lodging Association (AHLA) shows that many Americans are not expected to travel this holiday seasons. Results show that 72% of Americans are unlikely to travel for Thanksgiving and 69% are unlikely to travel for Christmas, compounding the challenges for the hotel industry during this public health crisis.

Business travel has been even more impacted. Only 8% of Americans say they have taken an overnight business trip since March, and just 19% of respondents who are currently employed—or 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.

The survey of 2,200 adults was conducted November 2-4, 2020 by Morning Consult on behalf of AHLA. Key findings of the survey include the following:

Only 3 in 10 (32%) respondents have taken an overnight vacation or leisure trip since March
21% of Americans say they are likely to travel for Thanksgiving, 24% are likely to travel for Christmas
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 hote

“This holiday season will be an especially difficult time for all Americans, and our industry is no exception” said Chip Rogers, president and CEO of the American Hotel & Lodging Association. “Fewer people will be traveling, and business travel remains nearly non-existent. That’s why it’s so important 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. We cannot afford to wait until the next Congress is sworn in for relief. They need help now.”

“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,” said Rogers.

The hotel industry was the first impacted by the pandemic and will be one of the last to recover. Hotel occupancy rates partially rebounded from record lows in April, but they have continued to decline since Labor Day. According to STR, nationwide hotel occupancy was 44.4% for the week ending October 31, compared to 62.6% the same week last year. Occupancy in urban markets is just 35.6%, down from 71.8% one year ago.

As a result of the significant drop in travel, more than half of hotels report they have less than half of their typical, pre-crisis staff working full time currently. Without further governmental assistance, 74% of hotels said they would be forced into further layoffs. Business and group travel are not expected to reach 2019 peak demand levels again until 2023. As a result of the sharp drop in travel demand from COVID-19, state and local tax revenue from hotel operations is estimated to drop by $16.8 billion in 2020.

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Economic Benefits of Travel & Tourism, Historic Hotels, Hotels, Hotels & Resorts, Importance of Tourism, Uncategorized

Hotel Industry on Brink of Collapse Releases Roadmap to Recovery

May 23, 2020 MoralCompass

*Wentworth By the Sea, a grand historic resort on New Castle island, off Portsmouth, NH (c) Karen Rubin/goingplacesfarandnear.com*

WASHINGTON D.C. – With new data from the Bureau of Labor Statistics (BLS) showing staggering job loss to the hospitality and leisure industry, the American Hotel & Lodging Association today released a “Roadmap to Recovery,” calling on Congress to prioritize relief for hotel workers and small businesses in the next stimulus package. The April Jobs Report showed the hospitality and leisure industry was the hardest hit, losing 7.7 million jobs—nearly as many jobs as the next four sectors combined. (Click here to read AHLA’s letter to Congress.)

AHLA is urging Congress to provide immediate assistance in these four areas:

Help hotels retain and rehire employees by extending the Paycheck Protection Program, offering employees direct tuition assistance or tax credits, and expanding the Employee Retention Credit
Protect employees and guests through tax credits for cleaning equipment and personal protective equipment (PPE)
Keep hotel doors open by providing relief for hotel commercial mortgages and increasing the size and flexibility of PPP loans
Incentivize Americans to travel again when it’s safe with a new, temporary travel tax credit and restoring the entertainment business expense deduction

“The hospitality industry is in a fight for survival,” said Chip Rogers, president and CEO of AHLA. “We are grateful to the leadership of both parties during one of the most difficult health and economic challenges we have faced. We are urging Congress to do even more to help the hotel industry so that our small business hotel operators can keep the lights on and retain and rehire employees.”

COVID-19 continues to devastate the hotel industry: 2020 is projected to be the worst year on record for hotel occupancy, and experts estimate it will be at least 2022 before hotels return to their 2019 occupancy and revenue levels. So far, the impact of COVID-19 on the travel industry has been nine times worse than September 11. In a recent survey of AHLA members, more than 8 in 10 hotel employees said they have had to lay off or furlough workers. Only 37 percent have been able to rehire any staff through economic relief measures such as PPP.

With a presence in every congressional district in America, hotels are central to getting our economy back on track and supporting millions of jobs. Prior to the pandemic, hotels were proud to support one in 25 American jobs—8.3 million in total—and contribute $660 billion to U.S. GDP. A representative hotel with 100 occupied rooms per night supports nearly 250 jobs in the community and generates $18.4 million in guest spending at neighborhood shops and restaurants. Hotels also generate $186 billion in local, state, and federal taxes each year.

“While the hotel industry was one of the first affected by the pandemic, we have collectively stepped up to serve our communities during this public health crisis. We need Congress to continue to prioritize the industries and employees most affected by the crisis, so we can retain and rehire the people who power our industry, our communities and our economy,” concluded Rogers.

Click here to download the hotel industry’s Road Map to Recovery one-pager.

Click here to read AHLA’s letter to Congress.

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Hotels, Responsible Travel

15,000 Hotels Sign Up for ‘Hospitality for Hope’ to Provide Housing for Healthcare Workers During Coronavirus Pandemic

April 7, 2020 MoralCompass

San Francisco, California hotels are among the 15,000 to sign up for American Hotel and Lodging Association (AHLA) “Hospitality for Hope” provides temporary housing for emergency and healthcare workers as the COVID-19 public health crisis grows © Karen Rubin/goingplacesfarandnear.com

WASHINGTON – The American Hotel and Lodging Association (AHLA) announced that more than 15,000 hotels have signed up for its new initiative – “Hospitality for Hope” – which identifies hotel properties that have offered to provide temporary housing for emergency and healthcare workers as the COVID-19 public health crisis grows. While the program will primarily focus on housing for the healthcare community, some hotels could potentially be used as “Alternative Care Sites” such as an emergency hospital or place for those quarantined to stay if needed.

AHLA’s “Hospitality for Hope Initiative” was created to boost collaboration between the hotel industry and local, state and federal governments to help employees, communities across the country, and the industry during this unprecedented health crisis. In the short time since the initiative was announced, participation has grown from nearly 6,000 hotels to more than 15,000 properties. Already, this initiative has identified a total combined

2.3 million rooms located in close proximity to established healthcare facilities.

To help match and streamline the process for willing hotel properties to connect with federal, state, and local governments, AHLA and its state association partners are working to create a national “Hospitality for Hope” database to assist the U.S. Department of Health and Human Services in coordination with the U.S. Army Corps of Engineers, local emergency management and public health agencies. AHLA has also provided a number of resources for members, which can be found here.

“It has been so impressive to see hotel after hotel join this important initiative as a way of giving back to the communities in which they operate,” Chip Rogers, AHLA president and CEO said. “As an industry of people taking care of people, the hotel industry is uniquely positioned to support our communities by caring for the first responders who are on the frontlines of this public health crisis. Hotels have always been an active member of our local communities, and this time is no different. We are proud to work to facilitate partnerships with federal, state and local governments to support the health community during this critical time.”

Local, state and federal government officials will be able to search willing properties based on geographic location. (Click here for a state by state breakdown of the number of hotels signed up).

Already, examples of hotels partnering with local and state officials offering housing to doctors, nurses, homeless families and quarantined individual are being reported across the country including in:

Chicago

California

New York

Dallas

Portland

New Orleans

“The number of hotels wanting to be part of the program is growing by the hour,” Michael Jacobson, CEO and president of the Illinois Hotel & Lodging Association said. “Our hotels are answering the call to action, and they want to be helpful to the city and the state.”

“‘Hospitality for Hope’ is just one of the many ways that our hotels are helping those in need in our communities during this time of crisis,” said Kim Sabow, President and CEO of the Arizona Lodging and Tourism Association. “We look forward to working with all interested parties, including local and state officials, and the federal government to find innovative solutions to make it through this critical time together.”

Hotels interested in joining AHLA’s “Hospitality for Hope” initiative can volunteer HERE.

Given the unprecedented public health and economic crisis, hotels and the industry as a whole are coming together to support the community and their furloughed employees.

In expanding “Hospitality for Hope Initiative”, the American Hotel & Lodging Foundation, AHLA’s charitable giving arm, rolled out free resources last week to help industry employees continue their education during this difficult time including free hospitality management online courses, professional development scholarships for AHLA certifications and continuing education online programs.

Learn more about additional training and education efforts through AHLA’s “Hospitality for Hope” by visiting: AHLA.com/ahlas-hospitality-hope-initiative

The American Hotel & Lodging Association (AHLA) is a national association representing all segments of the U.S. lodging industry which contributes nearly $660 billion to U.S. GDP. Headquartered in Washington, D.C., AHLA focuses on strategic advocacy, communications support and workforce development programs to move the industry forward. The industry supports 8.3 million jobs,—more than 1 in every 25 American jobs. Learn more at www.ahla.com.

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