Hospitality & Tourism

Hospitality & Tourism

Almost 15 million Americans work in tourism and hospitality—in hotels, amusement parks, art museums, and restaurants—making it the fifth largest industry in the country.1 Many of these jobs depend on our immigration and visa systems. International tourists create high demand for the tourism industry. Meanwhile, many employers have trouble finding enough American workers to staff resorts, hotels, and attractions. Current policies not only discourage international tourists and business travelers, but also keep American businesses from finding the workers on which the tourism industry relies.

1 Bureau of Labor Statistics (BLS), “Industry employment and output projection to 2024,” Monthly Labor Review, December 2015. Available online.

Mexican Immigrant Creates Jobs and Opportunity for American Workers in Greenville

Mexican Immigrant Creates Jobs and Opportunity for American Workers in Greenville

When Mexican native Ruben Montalvo first came to the United States at age 24, he was so sure his visit was temporary that he kept an open return ticket home. As valedictorian from his university, where he had received an engineering degree, he’d been reluctant to leave his cushy… Read More

Carl Sobocinski: Focus on immigration reform

Carl Sobocinski: Focus on immigration reform

Tourism is the backbone of South Carolina’s economy. Generating $18 billion in annual revenue during some of the worst economic times in American history, the Palmetto state is finally on pace to have a record 2015! Thanks in part to an economy that has stabilized and dropping fuel prices, we’ll… Read More

Three Ads You Won't See During the Super Bowl, But You Should Still Watch

Three Ads You Won’t See During the Super Bowl, But You Should Still Watch

This Sunday, some of the biggest brands in the country will interrupt the bathroom breaks of more than one hundred million viewers with clever television ads. We thought we’d save the money and your bladders by sharing three ads in advance that demonstrate the impact immigrants have on important U.S. Read More

Summit County, Breckenridge ski tourism might benefit from smarter visa laws

Summit County, Breckenridge ski tourism might benefit from smarter visa laws

For international tourists, a weeklong ski vacation to Breckenridge begins months or even years before they set skis to snow. Take a family from Brazil: Before booking a room on Ski Hill Road, everyone in the family must first be approved for a nonimmigrant visa, commonly… Read More

Business group releases study showing benefits of expanding Visa Waiver Program

Business group releases study showing benefits of expanding Visa Waiver Program

The Partnership for a New American Economy on Monday released a new study showing how expanding the Visa Waiver Program to six new countries – Brazil, Hong Kong, Israel, Poland, South Africa, and Turkey – would result in $7.66 billion additional spending and 50,000 American jobs within five years. Read More

New Study Shows Smarter Tourist Visa Laws Would Add More Than $7.5 Billion in Revenue and 50,000 Jobs Within Five Years

New Study Shows Smarter Tourist Visa Laws Would Add More Than $7.5 Billion in Revenue and 50,000 Jobs Within Five Years

The Partnership for a New American Economy today released a new study showing how expanding the Visa Waiver Program to six new countries – Brazil, Hong Kong, Israel, Poland, South Africa, and Turkey – would result in $7.66 billion additional spending and 50,000 American jobs within five years. “Expanding the… Read More

Study: Better tourist visa laws could boost U.S. economy

Study: Better tourist visa laws could boost U.S. economy

Better tourist visa laws would boost the country’s revenue by at least $7.6 billion and create 50,000 jobs within five years, according to a report released Monday by the Partnership for a New American Economy. The partnership, a coalition of business groups and mayors advocating for immigration reform, says that when a… Read More

Myrtle Beach chamber backs expansion of Visa Waiver Program

Myrtle Beach chamber backs expansion of Visa Waiver Program

Expansion of a program that allows citizens of some countries to visit the U.S. without tourism visas could increase the state’s and the Grand Strand’s chances of capturing part of a rapidly expanding market, according to some of the state’s travel leaders. “International tourism is growing faster than domestic tourism,”… Read More

Study: improved tourist visa laws would add billions in revenue and thousands of jobs within five years

Study: improved tourist visa laws would add billions in revenue and thousands of jobs within five years

Improved tourist visa laws would add more than $7.5 billion in U.S. revenue and create 50,000 U.S. jobs within five years, according to a report released Monday by The Partnership for a New American Economy. The report, “Passport to Future Economic Growth: How Expanding the Visa… Read More

Group Touts Immigration Reform As Good For Oklahoma Tourism

Group Touts Immigration Reform As Good For Oklahoma Tourism

The Partnership for a New American Economy today released a new study showing how expanding the Visa Waiver Program to six new countries – Brazil, Hong Kong, Israel, Poland, South Africa, and Turkey – would result in $7.66 billion additional spending and 50,000 American jobs within five years. Read More

Immigrant Workers

It is hard to imagine the country’s $700 billion tourism and hospitality industry2 without the contributions of immigrants. In 2015, foreign-born workers made up more than one out of every five workers in the sector—and even larger shares of those employed in more labor-intensive roles.3 In states where tourism and hospitality is especially vital, immigrants represent a significantly larger share of the workforce than the population overall.

Sources:
2 U.S. Bureau of Economic Analysis, “Table 1: Value Added by Industry,” annual estimates for 2015, accessed October 25, 2016. Available online.
3 Author’s calculations from the 2015 American Community Survey.
Table sources: Author’s calculations from the 2015 American Community Survey.

States Where Immigrants Are the Most Overrepresented in the Hospitality Workforce, 2014

The Role of Foreign-Born Workers in Selected Labor-Intensive Hospitality and Tourism Roles, 2015

More Workers Needed

As the tourism and hospitality industry expands, it will need additional workers to maintain, service, and manage venues across the country. However, between 2010 and 2020, almost 80 percent of all the projected new positions in the industry will require less than a bachelor’s degree.4 This growth is at odds with nationwide demographic trends, as the number of U.S.-born individuals at that skill level is declining.

Sources:
4 Author’s calculations of a straight-line projection using data from the Current Population Survey, 2002-2015. 5 Bureau of Labor Statistics (BLS), “Industry employment and output projection to 2024,” Monthly Labor Review, December 2015. Available online.
Table source: Burning Glass Technologies

States with the Greatest Need for Hospitality Workers, 2015

The Impact of International Visitors

While domestic travelers still account for the largest share of U.S. tourism expenditures, international tourists are critical to the strength of the industry overall. On average, international tourists spend $4,500 on goods and services each time they visit the United States—making tourism our country’s largest export in recent years.6 That spending has a ripple effect on the broader economy. The U.S. Travel Association estimates that every $1 million spent by foreign visitors creates 6.6 tourism jobs.7 Each tourism job, in turn, indirectly supports 1.5 jobs in related industries such as construction, marketing, accounting, and manufacturing.8

Sources:
6 "Statement from U.S. Commerce Secretary Penny Pritzker on President Obama’s Executive Actions to Welcome More International Visitors," Commerce.gov, May 22, 2014. Available online.
7 U.S. Travel Association, “Travel Exports: Driving Economic Growth and Creating American Jobs,” September 10, 2014. Available online.
8 World Tourism Organization and International Labour Organization, “Measuring Employment in the Tourism Industries – Guide with Best Practices,” UNWTO, Madrid, 2014. Available online.
Table source: Burning Glass Technologies

The Current System Hampers International Travel

Since September 11, necessary security measures and visa restrictions have made travel more difficult for many international tourists. One way to increase the number of international travelers to the United States, while still safeguarding security, would be to expand the number of countries eligible for the Visa Waiver Program (VWP). Participating countries must meet stringent security standards for vetting potential U.S. visitors and share information about possible terrorist and criminal threats, general and specific, with the U.S. government. Research finds that when a country joins VWP, the number of visitors from that country to the United States increases substantially.

Sources:
9 New American Economy, "Passport to Future Economic Growth," December 15, 2014. Available online.
10 Ibid.

Reforming the H-2B Visa

Tourism and hospitality companies across the United States depend on immigrant workers to help fill seasonal and labor-intensive jobs that would otherwise remain vacant. In 1986, under President Ronald Reagan, the H-2B visa program was created to allow immigrants to enter the country legally as temporary workers. Unfortunately, as currently administered, the H-2B program is too cumbersome and costly—and riddled with delays—to be useful to many U.S. businesses. Many employers say the supply of available visas is also far too limited to meet actual labor needs.

Sources:
11 Estimate based on figures provided by the H-2B Workforce Coalition and the U.S. Department of Labor Office of Foreign Labor Certification’s 2015 Annual Report.
12 “Immigration Myths and Facts,” U.S. Chamber of Commerce, April 14, 2016. Available online.

Impact on the States

Getting immigration reform right for the tourism and hospitality industry will be critical for many states, particularly those where the sector accounts for a substantial share of the state’s GDP. For example: in 2014, more than one out of every six dollars of GDP in Nevada was tied to the tourism and hospitality industry, as were almost one in 10 dollars of GDP in Hawaii. In Nevada, immigrants frequently hold the kinds of low-level and labor-intensive jobs that not only allow hotels and casinos to thrive, but also help create jobs for American workers at a variety of skill levels.

Table sources: Data on GDP come from the BEA’s estimates for annual GDP by state by major industry sector. Information about jobs comes from the 2014 American Community Survey.

States Most Dependent on a Strong Tourism Workforce, 2014

Top 10 Occupations Most Reliant on Immigrants in Nevada, 2014 (All Sectors)

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