US government shutdown could cost travel sector $1 billion per week

A partial government shutdown could cost the U.S. travel industry $1 billion per week and lead to widespread disruptions for travelers, a trade group representing airlines, hotels and other travel companies said on Friday.

A letter from more than two dozen aviation groups on Friday warned congressional leaders that a shutdown could have dire impacts on the Federal Aviation Administration.

TSA expects to screen a record 40 million passengers over the holidays after setting records over the Thanksgiving holiday.

TSA, which handles airport security screening, said about 59,000 of its 62,000 employees are considered essential and would continue working without pay in the event of a shutdown that would begin on Saturday unless the government reaches a funding deal.

Air traffic controllers and TSA officers are among the government workers who would be required to keep working but would not be paid.

The group said a survey found 60% of Americans would consider altering travel plans if a government shutdown occurs, with many choosing to cancel or avoid flights altogether.

Without a deal, the FAA estimated it would have to furlough more than 17,000 employees and halt training of air traffic controllers.

In 2019, during a 35-day shutdown, the number of absences by controllers and TSA officers rose as workers missed paychecks, extending checkpoint wait times at some airports.

The FAA was forced to slow air traffic in New York, putting pressure on lawmakers to finally end the standoff.