Last month, Governor Cooper’s office heralded big increases in tourism spending. But figures deeper in the report show that employment in tourism sectors still lagged behind.
Tourism revenue topped $35 billion dollars in 2023, a record high and 22% higher than in 2019. Income from that spending, or what shops and hotels made in profit, also hit a record high. But employment was still 6% below levels of 2019.
Wit Tuttell, director of Visit North Carolina, said that disparity comes from a strong labor market. Throughout 2023, the unemployment rate in North Carolina never went higher than 3.6%. As workers find stable jobs they like, it makes it harder for seasonal employers to find help.
Tuttell noted that while total employment hadn’t fully rebounded, total payroll did increase.
“It means that the people who are employed in the industry are making more money now,” he said. “That’s a good sign I think, and that’s a sign of part what’s happening coming out of the pandemic. It’s been harder to get the workforce.”
Lower total employment can impact consumers.
“Probably the easiest example that … is the hotel doesn’t clean your room every night, unless you tell them to,” said Tuttell. “And that’s a workforce issue a lot of times that has spurred that change.”
Tuttell said travelers might have also noticed fewer restaurants with table service, and more where the consumer orders at a counter.
“The bottom line is that the industry is still in a state of not having enough staff to fill all our vacancies,” Tuttell said.
The NC Restaurant & Lodging Association has been running a campaign to attract workers in to the industry. A jobs tracker on the site shows more than 3,000 vacancies, including more than 2,000 entry-level vacancies.
