From the desks of the Hotel News Now editorial staff:
- UK in 'doldrums' as economy shrinks by 25%
- US budget deficit climbs to $3 trillion
- Hotel job fairs move online in pandemic
- European corporate travel managers bullish on recovery
- California partially shuts down again due to COVID-19 spikes
U.K. in “doldrums” as economy shrinks by 25%: Gross domestic product in the United Kingdom might have risen 1.8% in May compared to April, but overall, according to the government’s statistician, the Office for National Statistics, the economy is “now 24.5% smaller than it was in February.”
The ONS said April showed the record decline, -20.4%, and that in the three months to May, the economy declined by 19.1% compared with the three-month period before that.
U.S. budget deficit climbs to $3 trillion: The U.S. economy is faring no better than others due to the coronavirus crisis, with the Treasury Department stating the budget deficit has climbed $3 trillion in the 12 months through June, according to The Wall Street Journal.
The newspaper said as a share of GDP, the 12-month deficit came to 14% last month, while in June alone the deficit widened to a monthly record of $864 billion, “nearly as much as the gap for the entire previous fiscal year, which totalled $984 billion.” It added that the Congressional Budget Office has projected the annual deficit could total $3.7 trillion in the fiscal year that ends 30 September, a figure that could grow if more emergency spending is required to prop up the economy.
Hotel job fairs move online in pandemic: The requirement for social distancing has resulted in many hotel firms opting to have virtual job fairs, rather than welcome candidates on to the hotel property, according to Hotel News Now’s Dana Miller.
One hotel, The Tuxon, in Tucson, Arizona, organized its virtual fair in five different online links via a landing page and corresponding to five different types of roles it was hiring.
“We really weren’t comfortable having any of the candidates come to the property (due to COVID-19) so we worked with our PR company and thought it would be good to do a virtual job fair,” he said. “How the virtual job fair worked is we had five different links for various posting,” said Tim Heim, the hotel’s GM and area GM for Focus Hospitality Management.
European corporate travel managers bullish on recovery: Research from French travel firm Accor has revealed that one-third of Northern European corporate travel planners predicted their business travel programs will recover within six months and that only 7% of the more than 120 questioned between 27 April and 5 May said it would take more than 12 months before they saw improvements.
The release also states “when it comes to reservations, just 15% of corporates are planning to change the categories of hotel they book in future.” Only 22% of the business travel buyers “ranked additional sanitary measures and COVID-19 protection as their top priority.”
California partially shuts down again due to COVID-19 spikes: California has announced that restaurant, bars and venues, among other businesses, have to close once again due to a spike in COVID-19 infections in the state, with the order being made by Gov. Gavin Newsom.
The order applies to California counties that “have remained on the County Monitoring List for three consecutive days,” the statement said, which added that businesses can continue if “they can be modified to operate outside or by pick-up.” California, the statement continued, has seen at press time 329,162 cases of COVID-19, with 109,910 new cases seen within the last 14 days.
Compiled by Terence Baker.