The Government Shutdown’s $6 Billion Toll on Travel and the U.S. Economy

They are felt in airports, in hotel lobbies and in communities across the country that depend on travel to support jobs and economic activity. The latest shutdown resulted in more than $6 billion in economic losses, driven by workforce strain, operational slowdowns and suppressed demand.  

During shutdowns, essential aviation personnel such as air traffic controllers, TSA officers and U.S. Customs and Border Protection (CBP) staff are required to report to work without pay. This policy places enormous stress on the workforce responsible for keeping travelers safe and the system functioning. Past shutdowns have resulted in staffing shortages and cascading operational challenges. In November, the Federal Aviation Administration reduced flights at 40 high-traffic airports due to controller shortages, exacerbating delays and forcing cancellations nationwide.

Shutdowns also suppress travel demand. Official government travel ceases, and government-related business travel grinds to a halt. Public attractions close their doors, including national parks and Smithsonian museums, reducing travel interest and visitation to gateway communities across the country. These effects ripple outward, decreasing visitor spending and imposing downstream costs on airlines, hotels, restaurants, small businesses and local economies.

To quantify these impacts, U.S. Travel partnered with Tourism Economics to analyze the longest government shutdown that lasted from October 1 through November 12, 2025. Over the 43-day period, the shutdown resulted in $6.1 billion in total economic losses across travel and related sectors. On average, the U.S. saw 88,000 fewer trips per day, a clear signal of how quickly uncertainty and disruption suppress travel activity.

Encouragingly, there is strong bipartisan support for a solution. A new national survey conducted by Ipsos in partnership with U.S. Travel found that four out of five Americans support paying air traffic controllers and TSA officers when they are required to work during a government shutdown. This support spans party lines and reflects a shared understanding that America’s travel system depends on a stable, fairly treated workforce.

Bipartisan leaders broadly support paying air traffic controllers, TSA officers and CBP workers when government shutdowns force them to remain on the job. Congress is already taking action with the House Transportation and Infrastructure Committee unanimously passing H.R. 6086, the Aviation Funding Solvency Act, which would ensure air traffic controllers continue to be paid in a future government shutdown. This is a good first step but there is more work to be done. As travelers face the real-world consequences of government shutdowns, momentum is building across Capitol Hill to guarantee pay for the air traffic controllers who keep the system running.  

The takeaway is clear: government shutdowns are costly, disruptive and unnecessary. They disproportionately harm a sector that supports 15 million jobs and underpins America’s economic growth. Protecting the continuity of travel operations and ensuring essential workers are paid gives due recognition to an industry that has proven to be essential.