As the U.S. government shutdown enters its second month, the nation’s travel industry is sounding the alarm ahead of the Thanksgiving holiday rush. Nearly 500 organizations, including major hotel chains, airlines, and destination marketing bodies, have signed a joint letter urging Congress to immediately reopen the government.
The coalition, led by the U.S. Travel Association, warns that continued inaction could cause travel chaos, crippling airports and tourism-dependent communities across the country.
Mounting Delays and Growing Economic Losses
According to the U.S. Travel Association, the shutdown has already cost the travel economy more than $4 billion, with disruptions rippling through every sector. Thousands of federal employees – including air traffic controllers and TSA officers – are currently working without pay, leading to severe staffing shortages that have already caused longer airport wait times, flight delays, and cancellations.
Airports in major hubs such as New York, Dallas, and Washington, D.C. are experiencing growing pressure, while smaller airports are being forced to reduce operations altogether. With Thanksgiving – the busiest travel week of the year – fast approaching, experts say the situation could escalate quickly. Last year, more than 20 million passengers flew during Thanksgiving week, generating billions in spending that support local jobs, small businesses, and tourism-related tax revenue.
Geoff Freeman, president and CEO of the U.S. Travel Association, warned that if the shutdown continues, “travelers will pay a heavy and completely unnecessary price in terms of delays, cancellations, and lost confidence in the air travel experience.” He added that safety remains the top priority, but the system is under “extraordinary strain” that could undermine public trust.
Industry Unites to Pressure Congress
The letter to congressional leaders calls for passage of a “clean continuing resolution” to restore federal operations before Thanksgiving. Travel executives emphasized that the shutdown threatens not just travel plans but also the broader U.S. economy. Many hotels, airlines, and local tourism boards have already reported downturns in bookings, with the American Hotel and Lodging Association estimating $650 million in lost hotel business in just the first month of the shutdown.
In Washington, D.C., hotel revenue per available room dropped nearly 24% year-over-year, among the steepest declines nationwide. The ripple effects have been felt across the hospitality and service sectors, where thousands of workers depend on steady holiday travel demand.
Freeman emphasized that 60% of Americans say they would consider canceling or avoiding air travel during a shutdown, further eroding confidence at a crucial moment for the industry. “Thanksgiving should be about spending time with family, not worrying about canceled flights or endless delays,” he said.
This latest warning echoes broader concerns within the industry about the economic impact of prolonged federal gridlock. Recent analysis has shown that the U.S. travel economy has already lost more than $1 billion since the shutdown began, affecting airlines, hotels, and local destinations alike. That report highlights how the shutdown is not only disrupting air travel logistics but also undermining traveler confidence and spending habits across the nation.
The travel sector, already facing challenges from inflation and fluctuating demand, fears that if Congress does not act soon, the shutdown could derail one of the most economically vital weeks of the year. With billions of dollars and millions of travel plans at stake, industry leaders say the message to lawmakers is clear: reopen the government now – before Thanksgiving turns into a nationwide travel nightmare.