Hotel Industry Economic Impact

KEY MESSAGES

Hotels power America’s economy and support our employees. 

  • Hotels support more than 1 in 25 American jobs – 8.3 million in total.
  • In total, the hotel industry supports $395 billion in wages, salaries and other compensation, both directly at our properties and in the communities we serve.
  • Three out of every five hotels (61%) are small businesses, totaling more than 33,000 properties nationwide. 
  • Hotels contribute nearly $660 billion to the U.S. GDP.
  • A representative hotel with 100 occupied rooms supports nearly 250 local jobs and generates $18.4 million in guest spending.

The hotel industry is growing at a significant pace. 

  • In just the last two years, AHLA’s Foundation programs have changed 40,000 lives, through innovative programs to recruit, retain and invest in em
  • Hotel industry sales have increased 43.5% since 2010, resulting in almost 300,000 additional jobs at hotels.
  • Total jobs supported by the hotel industry has increased 15% since 2015.
  • Hotel industry employment increased to 2.3 million jobs in 2018 - a gain of more than 160,000 hotel jobs since 2015.
  • Hotel industry compensation increased to $97.2 billion in 2018, a 16% increase since 2015.

With a growing labor shortage – nearly one million open positions in hospitality – AHLA’s Foundation is creating and building innovative programs to rapidly train employees while also providing current employees a path toward upward mobility.

  • In just the last two years, AHLA’s Foundation programs have changed 40,000 lives, through innovative programs to recruit, retain and invest in employees.
  • For more than 60 years, our Foundation has been working to fuel to the talent pipeline and advance the next generation of hoteliers. Our efforts are increasingly important in the face of the tightest labor market in a generation. 
  • In addition to our core scholarship offerings, our programs include debt-free college for associates to earn a degree at no cost to them, an Opportunity Youth program to reach young adults, and expanded apprenticeship and certification programs. 
    Our Foundation programs complement the efforts of our member companies to invest in their workforce and attract new talent to our industry.

Hotels invest in America’s communities.

  • As employers, taxpayers and neighbors, hoteliers are proud to be an integral part of communities across America, and we are committed to strengthening and growing them together.
  • Guests spend nearly $550 billion at hotels and local businesses as part of their travels.
  • Hotels generate $186 billion that goes back to the communities through local, state and federal taxes.
  • For every $100 hotel guests spend on lodging, another $222 is spent at the destination (totaling $278 billion per year spent on transportation, dining, shopping, etc. at local businesses during stays). 

Hotels serve the world’s travelers.

  • The industry is vibrant, innovative, and continues to experience tremendous growth—from global brands to the small bed & breakfasts that line main streets in every community.
  • Welcoming international travelers to the U.S. is important to generating American jobs and powering our economy, but U.S. market share is on the decline. 
    • International arrivals to the U.S. totaled approximately 80 million people in 2018. 
    • U.S. share of global long-haul travel is 11.7%, down from 13.7% in 2015. 
    • U.S. share of total international arrivals is 5.6%, down from 6.4% in 2015.
  • Despite the loss of international market share, demand for hotel rooms has never been higher. The industry has been on a growth trajectory for more than nine years.
  • There are nearly 56,000 properties nationwide, with 5.3 million guest rooms.
  • 1.3 billion guests stay in American hotels every year. That’s the equivalent of more than 17 percent of the earth’s population.