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Report: Leisure and hospitality added 53,000 jobs in December

USTA says the growth is not enough, more federal aid is needed

Report: Leisure and hospitality added 53,000 jobs in December

THE LEISURE AND hospitality sector saw some job growth in December, according to the Bureau of Labor Statistics’ December employment report. Not enough, however, according to the U.S. Travel Association, meaning more federal aid is needed.

The sector added 53,000 jobs during the month, according to the BLS data. The overall economy added 199,000 jobs.


“Leisure and hospitality has added 2.6 million jobs in 2021, but employment in the industry is down by 1.2 million, or 7.2 percent, since February 2020,” the report said. “Employment in food services and drinking places rose by 43,000 in December but is down by 653,000 since February 2020.”

However, the report indicates that the recovery is uneven, said Tori Emerson Barnes, USTA’s executive vice president of public affairs and policy, in a statement. December’s performance was the second-worst since January 2021, she said.

“The small gains made are not enough to propel the sector toward a larger recovery, as more than 7 percent of all L&H jobs remain lost compared to just 2 percent for the rest of the U.S. economy,” Barnes said. “As the spread of the omicron variant continues to impact travel, there remains a pressing need for Congress to provide additional federal relief and stabilizing policies that will enable the return of business travel, professional meetings and events, and international inbound travel.”

USTA expressed similar concerns in October.

USTA’s priorities for federal legislation include the Restoring Brand USA Act along with targeted tax stimulus to restore spending on business travel, live entertainment and in-person events.

Other December results from BLS are:

  • Employment in food services and drinking places rose by 43,000 in December but has dropped 653,000 since February 2020.
  • The share of employed persons who teleworked because of the coronavirus pandemic was 11.1 percent for December, about the same as November.
  • Unemployment rates for adult men (3.6 percent), adult women (3.6 percent) and Whites (3.2 percent) declined in December while rates for teenagers (10.9 percent), Blacks (7.1 percent), Asians (3.8 percent), and Hispanics (4.9 percent) showed little or no change over the month.

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Summary:

  • Policy shifts and trade tensions shaped the U.S. hospitality industry.
  • A congressional deadlock triggered a federal shutdown from Oct. 1 to Nov. 12.
  • Visa limitations and the immigration crackdown dampened international travel.

THE U.S. HOSPITALITY industry navigated a year of policy shifts, leadership changes, trade tensions and reflection. From Washington’s decisions affecting travel and tourism to industry gatherings and the loss of influential figures, these stories dominated conversation and shaped the sector.

Policy uncertainty took center stage as Washington ground to a halt. A congressional deadlock over healthcare subsidies and spending priorities triggered a federal government shutdown that began on Oct. 1 and lasted until Nov. 12. The U.S. Travel Association warned the shutdown could cost the travel economy up to $1 billion per week, citing disruptions at federal agencies and the Transportation Security Administration. Industry leaders said prolonged gridlock would further strain hotels already facing rising costs and workforce challenges.

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