Green Shoots

We are finally starting to see some signs of life returning to the global tourism industry. Southern European nations have opened for general tourism. Gaylord Resort is opening in Austin, TX. Japanese children have returned to school. 

Hotels & Resorts are opening, but conforming to local safety regulations is causing low occupancy, and impossible F&B metrics. Owners will continue to declare bankruptcy. As you have heard, Hertz has filed for Chapter 11.

Jobs are different. Furloughs in corporate travel are being extended until September. We have seen scant new job openings. But they are starting to appear. We will see more come up progressively from now to the end of summer. By September we should start to see a decent number of job openings. 

So, what can you do? As employers, be brave. This is the time to reset your business and find the best talent. If you commit to hire, you can employ somebody to start in September. People can survive if they have a start date. Snap up the talent now – it is your advantage.

As employees, don’t waste this downtime. Improve your skills. Undertake a course. Find your special messaging. We recently advised a former Club Med employee to offer a free tennis lesson if granted an interview. Why? To highlight the fact that he had extraordinary Club Med experience, had worked on the customer entertainment and activities side of the hospitality business and had been a tennis coach. His application was sent with a can of tennis balls. You have to do something to stand out.
What’s next? More openings. Orange County, California just approved in-restaurant dining. But business will not snap back. Social distancing predicts this. More businesses will return. Remote will remain. We are predicting children will return to school in September, freeing up parents who have had to teach from home. More bankruptcies. Businesses have been drained. Large and small. The Mall of America, the largest mall in America, has defaulted on $1.4 billion. What business does resume will not be enough to stave off bankruptcies. Cruise will resume in August and build back slowly. The first quarter of 2021 will be good for cruise.

Air travel will resume from September and build back in much the same way. But Corporate Travel will not return in strength until 2021.
Nothing is certain. This is our best guess based on information to hand today. But we see Green Shoots. We hope you do to.

As always, we pray for your safety and continued survival.