For Immediate Release September 24 2001 Decrease in tourism demand signals the loss of millions of jobs worldwide. The World Travel & Tourism Council has clarified its earlier press release which reported a forecast of 30% decrease in travel and tourism demand worldwide resulting in the loss of 26.4 million jobs across the globe in the entire travel and tourism industry – including airlines, hotels, tour operators, car rental and credit card companies. Although a number of travel and tourism companies have reported a decrease in demand of 30% and more following the terrorist attacks, the long-term outlook for travel and tourism demand is expected to slowly brighten as consumer confidence about safety and security recover. Annualised over the next twelve months, the decrease of travel and tourism demand is currently expected to total 10-20% in the United States and less in the rest of the world, including Europe and Asia. Based on a standardised hypothetical case scenario of 10% decrease in travel and tourism demand, the World Travel & Tourism Council has reported the following possible impact on national, regional and world employment and GDP. A 10% decrease in travel and tourism demand would result in the following: United Kingdom: Decrease of 1.9% of total GDP for the UK economy and the loss of 190,000 jobs. European Union: Decrease of 1.9% of total GDP for the EU economy and the loss of 1.2 million jobs. World: Decrease of 1.7% of total GDP for the world economy and the loss of 8.8 million jobs. United States: Decrease of 1.8% of total GDP for the US economy and the loss of 1.1 million jobs. While some initiatives are already taking place, the Council is calling upon governments worldwide to fully support the industry’s efforts to recover from the impact of the terrorist attacks in the United States. "In exceptional times we need exceptional measures," states Jean-Claude Baumgarten, President for the World Travel & Tourism Council (WTTC). "The entire industry has been effected by this tragedy – from the service industry to manufacturing." The Council calls for a government partnership with industry to help restore consumer confidence within travel and tourism, one of the biggest industries in the world. WTTC figures show the travel and tourism industry generates US$4,494 billion in economic activity; approximately 11% to GDP worldwide; and employs 8.2% of total world employment (207,062,000 jobs worldwide). In the aftermath of the September 11 incident, airline, tour operator, car rental and hotel bookings have dropped substantially putting the future of many companies at stake. The impact on the travel and tourism industry has caused a knock-on effect in other sectors within the service industry and manufacturing industry. WTTC urges governments worldwide to recognise the serious implications to the overall economy and implement policies with the private sector that will aid the industry’s immediate survival and long term recovery. END For further information contact Outside USA. Scott Mills Coordinator, Communications World Travel & Tourism Council scottm@wttc.org Tel: +44 (0) 870 727 9882 Fax: +44 (0) 870 728 9882 Within USA: Scott Wayne Tel : 202 463 7394 Fax: 202 463 7393