Recent news describes how sales are good at some Ohio outdoor-related businesses (“Seeing sights safely,” Dispatch article, Monday). We are grateful there are pockets of the state where businesses are doing well, but these pockets are the only thing intact in a coat that is shredded and falling apart at the seams.
As of Aug. 15, Ohio’s travel economy had lost $8.8 billion in travel spending, according to year-over-year data compiled by Tourism Economics. When we take to the road, even if it’s just a weekend jaunt or a day trip, we spend money. When we travel for business or attend a conference, we spend money. These dollars support jobs in hotels, restaurants, museums, attractions, theaters, retail shops, gas stations and dozens of other businesses.
While Ohio’s overall unemployment numbers might be in the single digits, nearly 147,000 Ohioans who depend on jobs in travel-related businesses are out of work. July’s unemployment report showed more than 1 in 4 employees within this industry are unemployed. Those working in the arts, entertainment and recreation are experiencing a whopping 38% unemployment rate in Ohio, while those employed in accommodations and food services are at 24% unemployment.
It’s not just travel-related jobs that are risk.
The ripple effect of these losses will be devastating. Less revenue means these businesses will have fewer dollars to spend on goods and services to operate. According to a report distributed by TourismOhio, these travel-dependent businesses spent $10.3 billion last year to support finance, insurance, real estate, manufacturing, construction and every other Ohio industry.
Fewer travelers and less spending also mean fewer tax dollars for public services — support for education, roads, fire and police protection, libraries and other social services. To date, taxes paid by travelers are down $258 million in state receipts and $154 million in local government receipts.
There are still Ohio businesses that received permission to open just this week, including performing arts venues. Even if open, most of our businesses are operating at drastically reduced capacity. The governor announced that when able to open, performing arts will be at 15% capacity. These are businesses that employ Ohioans.
In addition, meetings and conventions are capped at 300 persons regardless of venue size, and most events are at a standstill. As a large percentage of leisure travel-related sales occur in the summer months, we will see additional furloughs and layoffs this winter as businesses are not able to make payroll.
Melinda Huntley, executive director, Ohio Travel Association, Columbus