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Coronavirus concerns hurting travel industry
The economic fallout from the coronavirus outbreak is hurting the travel industry as well,
Major fallout from the coronavirus outbreak is hitting all parts of the economy, including the travel and tourism industry.
Airlines are cutting flights, including United, JetBlue, American Airlines and Delta. TransPacific flights have been cut by 50% while Cathay Pacific has grounded 75% of their flights. Travelers are also backing out of domestic travel and international destinations outside the affected zones.
According to experts, unlike a singular disaster, the impact of COVID-19 will last much longer.
“It takes a while for people to A.) Recognize things are better and B.) Accept it,” said Professor Larry Brennan of Fordham Law School.
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Major global companies like Apple, Google and Amazon are also restricting air travel for their employees.
Airlines stand to lose $113B if the coronavirus continues to spread, according to the International Air Transport Association. Multiple airlines have implemented hiring freezes and are offering unpaid leave for their workers.
However, air travel is only one industry being hit hard, as an entire ecosystem of businesses in New York City and around the world rely on tourism. From restaurants to retail stores to Broadway shows, to the taxi and ride hailing industry and hotels all stand to lose billions if the trend continues.