The U.S. federal government shutdown went into effect Oct. 1, and its impacts extend well beyond Washington, D.C., and are expected to affect both the travel and retail industries as well.
In late September, the U.S. Travel Association sent a letter to congressional leadership underscoring the detrimental impacts a government shutdown could have on the travel economy.
“A shutdown is a wholly preventable blow to America’s travel economy — costing $1 billion every week — and affecting millions of travelers and businesses while placing unnecessary strain on an already overextended federal travel workforce,” wrote U.S. Travel Association President and CEO Geoff Freeman.
The U.S. Travel Association also reported that the travel economy is at risk of losing $1 billion a week due to disruptions in air and rail travel along with the closure of some national parks and museums.
The association said a survey from Ipsos also shows that a large majority of Americans believe a U.S. government shutdown will cause economic harm and disrupt air travel. According to the survey:
- 60% of Americans reported that they would cancel or avoid trips by air in the event of a shutdown
- 81% of Americans agree that government shutdowns hurt the economy and inconvenience air travelers
- 88% of Americans agree members of Congress from both parties should work together to avoid a government shutdown
“The longer a shutdown drags on, the more likely we are to see longer TSA lines, flight delays and cancellations, national parks in disrepair and unnecessary delays in modernizing travel infrastructure. Nearly nine in 10 Americans agree Congress should work together to prevent a shutdown,” added Freeman.
Since the federal government shutdown began, several government-owned or funded attractions along with their gift shops have temporarily closed. Facilities at the Salem Maritime National Historical Park in Salem, Massachusetts, have closed as a result of the shutdown, according to a report from Mass Live. The publication notes that the shutdown occurs during the “Witch City’s busiest tourist season.”
Some federal government-owned attractions remain open, though. While National Park Service is affected by the government shutdowns, many national parks are still accessible but may have limited services, including Acadia National Park in Maine. While National Park Service-owned facilities are closed, nonprofit run and corporate owned facilities are open.
The Acadia Corp. operates eight retail stores in and around Acadia National Park. Retail Buyer Amy Sundberg notes that its stores remain open and that visitation has been consistent.
“Acadia is accessible from so many points, and it’s peak leaf peeping here right now,” she notes. “It’s early to say, but as of these past few days, it does not feel like it’s going to have a negative impact on our usual visitation.”
The National Retail Federation also reports that a government shutdown poses challenges for the retail industry.
“On behalf of our members and the consumers they serve, we urge Congress to act swiftly to reopen the federal government,” NRF says. “With the holiday season fast approaching, the economic uncertainty caused by a government shutdown is both unnecessary and damaging, further eroding consumer confidence at a critical time. While retailers face many external challenges beyond the control of policymakers, this is not one of them. A shutdown is avoidable, and its impact is entirely within the power of Congress to resolve. We respectfully ask that every effort be made to resort full government operations as quickly as possible.”
