Published on
August 16, 2025
By: Tuhin Sarkar
The American travel industry is proving its resilience in 2025, continuing to power employment growth even as new challenges emerge. A rapid slowdown in certain tourism segments has been triggered by the impact of the Trump tariff policies, ongoing trade tensions, and a rise in US flight cuts affecting both domestic and international routes.
Despite these headwinds, the sector remains one of the nation’s largest employers, supporting millions of jobs in hotels, restaurants, attractions, and transport services. Strong domestic travel demand, steady leisure spending, and the adaptability of tourism businesses are helping to offset some of the losses from reduced overseas visitors. The US tourism Industry leaders are focusing on workforce retention, skills development, and targeted marketing to keep the momentum going. This latest report highlights how, even in a turbulent economic climate, America’s travel sector continues to play a crucial role in sustaining jobs and driving local economies forward.
The tourism and hospitality sector is one of the biggest employers in the United States. It supports millions of jobs, from hotel staff and restaurant workers to tour guides and event organisers. In 2025, the industry is recovering strongly after the pandemic, but it is also facing new challenges such as staff shortages, wage pressures, and changes in travel demand. This report explains the current state of tourism jobs in the USA, using the latest official data and industry research. It also looks at the trends shaping the future of the sector.
Understanding Tourism Jobs in the US
Tourism jobs are not limited to hotels and restaurants. They include all work that depends on visitors spending money. This means roles in transport, attractions, entertainment, and even parts of retail. The US Bureau of Labor Statistics uses the “Leisure and Hospitality” category to measure many of these jobs. This includes accommodation, food services, and arts, entertainment, and recreation.
The Bureau of Economic Analysis uses a broader measure called the Travel and Tourism Satellite Account. This counts both direct jobs, such as a hotel receptionist, and indirect jobs, such as a supplier providing goods to hotels. In 2023, travel and tourism supported about 10.1 million jobs across the USA. Around 6.5 million of these were direct jobs and 3.6 million were indirect.
The Size of the Tourism Workforce in 2025
As of July 2025, the Leisure and Hospitality sector employed about 17.03 million people. This is one of the largest single sectors in the American economy. It has grown steadily in recent years, although the pace of job creation has slowed compared with the post-pandemic rebound. The small increase of 5,000 jobs in July shows that the sector is stable but not adding workers quickly.
Tourism jobs are a major part of some state economies. In Nevada, for example, tourism accounts for about a quarter of all jobs. In the Las Vegas area, the share is even higher. This means that any change in visitor numbers has an immediate effect on employment levels.
Wages and Working Hours
Tourism jobs often pay less than the average for all private sector jobs. In July 2025, the average hourly wage in Leisure and Hospitality was $22.83. The average for the whole private sector was $36.44. This difference is partly because many tourism jobs are in food service or housekeeping, which have lower pay rates.
Many tourism workers also work fewer hours each week. The average in July 2025 was about 25.6 hours for all employees in the sector. This is much lower than the 34 to 36 hours common in other industries. Shorter hours can be due to part-time roles, seasonal demand, or split shifts.
Weekly pay is lower than in other sectors, averaging about $584 compared with much higher levels in other industries. Some workers make more money through tips, but this can vary a lot depending on location and time of year.
Job Openings and Staff Turnover
Even with steady employment levels, tourism businesses still have trouble finding and keeping workers. In June 2025, there were about 935,000 job openings in Leisure and Hospitality. The same month saw about 980,000 hires and 963,000 separations. This shows that the industry has a high turnover rate.
The quits rate – the share of workers leaving their jobs voluntarily – was 4.9% in accommodation and food services. This is one of the highest rates of any sector in the USA. It means that many people change jobs frequently, often looking for better pay or working conditions.
Where Tourism Jobs Are Concentrated
While tourism jobs exist across the USA, some places depend on them more heavily. Nevada, Florida, Hawaii, and some parts of California have very high shares of their workforce in tourism. Big cities such as New York, Orlando, and Las Vegas have many jobs in hotels, attractions, and restaurants serving visitors.
In smaller towns and rural areas, tourism jobs often centre on seasonal activities such as national park visits, ski resorts, or summer beach tourism. These jobs can be stable during the peak season but may offer fewer hours or be laid off in the off-season.
Unionisation and Job Quality
Tourism jobs have low rates of union membership compared with other industries. In 2024, only about 3% of Leisure and Hospitality workers were in a union. The rate was higher in accommodation, at about 7%, thanks to big city hotel contracts.
Some hotels and restaurants are improving job quality to attract and keep staff. Benefits such as retirement plans, tuition assistance, and help with transport or housing are becoming more common. This is especially true in competitive job markets where employers must offer more to fill vacancies.
The Restaurant and Hotel Sectors
Restaurants are one of the largest employers in tourism. The National Restaurant Association’s 2025 report shows that many businesses still face staffing shortages. To solve this, they are offering flexible schedules, faster hiring processes, and even same-day pay.
Hotels are also working hard to fill roles in housekeeping, food and beverage, and front desk operations. The American Hotel and Lodging Association’s 2025 outlook notes that better pay and benefits are being used to compete for workers.
Domestic and International Demand
Domestic tourism remains strong in 2025, with many Americans travelling within the country. However, international tourism has faced some declines. The World Travel and Tourism Council projects that foreign visitor spending in the USA will drop by about $12.5 billion, or 7%, this year. This is unusual, as most major countries are seeing growth.
An expected 8% drop in international overnight arrivals could affect hotels, attractions, and tour companies in major gateway cities. Las Vegas, for example, has seen softer visitor numbers compared with 2024.
Visa Processing and Travel Access
One reason for slower international growth is visa processing delays. While the USA has reduced wait times since early 2025, some key countries still face long waits for tourist and business visas. In places such as India, appointments can still take months to get. This slows the return of long-haul visitors and affects the jobs that depend on them.
Pay Trends and Skills in Demand
Hourly pay in tourism is rising, but the combination of fewer hours and variable tips keeps weekly earnings low. This makes it harder to keep staff in some locations. Employers are looking for ways to improve retention, such as offering training and promotion opportunities.
The most in-demand skills include customer service, food preparation, cleaning, and event management. As technology becomes more common in booking, check-in, and ordering, digital skills are also valuable.
The 2025 Labour Market Mood
The July 2025 national jobs report showed slower overall hiring, with tourism employment staying steady. This suggests the post-pandemic recovery phase is over, and the sector is settling into a more normal pattern. Domestic demand is strong, but the international market is weaker.
The Outlook for Tourism Jobs
In the short term, tourism employment is expected to remain stable, with small increases in some regions. International demand may improve if visa delays ease and exchange rates become more favourable.
In the medium term, major events like the FIFA World Cup in 2026 are likely to create temporary job boosts in host cities. Overall, the long-term outlook is positive, with global travel expected to keep growing.
Final Thoughts on US Economy
Tourism jobs are a vital part of the US economy, employing millions and supporting local communities. The industry is adapting to challenges such as high turnover, lower weekly pay, and changes in travel patterns. By investing in better working conditions, training, and recruitment, tourism businesses can build a stronger workforce.
In 2025, the Best Places in US to see in this fall will not only offer visitors beautiful sights but will also depend on the people working behind the scenes. From hotel staff in Nevada to restaurant workers in New York, these jobs keep the tourism engine running. With careful planning and continued recovery, the sector can continue to power employment and economic growth across the United States.
