The travel industry expects to create 126 million new jobs over the next decade

The World Travel & Tourism Council released its latest Economic Impact Report (EIR) at its global summit in Manila, Philippines this week, announcing that the travel and tourism industry is expected to create nearly 126 million new jobs over the next ten years.

In addition to this grand prediction, the report also notes that the industry will be a driving force in the global economic recovery from COVID-19, creating one in three of all new jobs expected to be created over the next ten years.

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Travel and tourism is expected to grow its GDP at an average annual rate of 5.8% over the next ten years, more than double the growth rate of the global economy, which is 2.7%. The industry is expected to make up 11.3% of the total global economy, which in 2019 accounted for 10.3% of the global economy.

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Additionally, the report revealed that 2023 could see pre-pandemic GDP levels, which are expected to increase this year alone by 43.7%. Employment in 2023 is expected to climb just 2.7% below pre-pandemic levels.

“Over the next decade, travel and tourism will create 126 million new jobs worldwide,” said Julia Simpson, President and CEO of WTTC. “In fact, one in three of every new job created will be related to our sector…Looking forward this year and next, the WTTC forecasts a brighter future, with GDP and employment expected to reach pre-levels. the pandemic by next year.”

This positive outlook on the future of the industry is much needed after the past two years. In 2020, the industry generated just 5.3% of global GDP, falling 50% from its pre-pandemic level of 10.3% and causing millions to lose their jobs.

In 2021, the travel and tourism industry recovered more than 18 million jobs and its GDP increased by 21.7% compared to 2020, even thanks to the impact of the Omicron variant.

“The recovery in 2021 has been slower than expected partly due to the impact of the Omicron variant but mainly due to an uncoordinated approach by governments who rejected the advice of the World Health Organization, who argued that closing borders would not stop the spread of the virus, but would only serve to harm economies and livelihoods,” Simpson said.

One of the biggest growth sectors for the travel and tourism industry identified in the EIR report is the Asia-Pacific region. Estimated to generate nearly 77 million new jobs and grow its GDP by an annual average of 8.5% over the next decade, the industry exceeds the region’s overall economic growth rate by 4%.

The WTTC also released a new report this week at its global summit analyzing the readiness for sustainable growth in travel and tourism in cities around the world, titled “Destination 2030: Global Cities Readiness.” to the growth of sustainable tourism”, which is the first of its kind.

To view the WTTC Economic Impact Reports for 2021 and 2022, please click here.

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