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1 1 (April 10, 2020)

handle is hein.crs/govcuzr0001 and id is 1 raw text is: Researh Sevice U.S. Travel and Tourism and COVID-19 April 10, 2020 With the spread of the Coronavirus Disease 2019 (COVID-19) pandemic, many flights have been canceled, widespread travel bans have been put in place, and more quarantine and stay-at-home orders are in effect. This has sharply reduced domestic and international travel, prompting businesses across the U.S. travel sectors to ask the U.S. government for financial assistance. For Congress, this raises questions about the likely economic effects of COVID- 19 on travel and tourism and the level of support warranted for some industry segments that may quickly recover once the pandemic subsides and businesses reopen. U.S. Travel and Tourism The nation's travel and tourism industries are an amalgam of business activities including transportation, lodging, entertainment, and meals. According to government data, U.S. travel and tourism accounted for 2.9% of U.S. gross domestic product in 2018. Because the travel and tourism economy is particularly labor-intensive-directly employing 5.9 million workers in 2018-it ranks among the hardest-hit industries from the coronavirus's spread. The last sharp decline in tourism employment was during the three-year period 2007-2009, when the industry shed more than 680,000 jobs (see Figure 1). Nationwide, in 2018, average compensation per tourism employee in food services-the largest category of travel and tourism employment-was $26,000, and in traveler accommodations was $43,000. These two segments jointly account for more than half of all jobs in the sector, many of which are seasonal or part-time and require fewer skills than other industries. Not all segments pay low wages, although those that pay more employ far fewer tourism workers than the larger industry segments. Higher-paying segments, including travel arrangement and reservation services, motion pictures and performing aits, and gambling, have also undertaken layoffs and furloughs because of intensifying profitability pressures and collapsing demand amid the pandemic. Congressional Research Service https://crsreports.congress.gov IN11325 GRS }NStGHT Prepaed for Membeivs and Cornm ittees o4 Corq ess ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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