Hotels Won’t Survive Another Six Months Without Government Aid

EUREKA, Calif. (KIEM) – With the resurgence of COVID-19 and renewed travel restrictions, hotels across the nation are struggling financially.

According to a survey conducted by the American Hotel and Lodging Association, the hotel industry will continue to face job losses and 71% of hotels will not survive another 6 months without additional funding from the government.

General Manager of the Carter House Inn, Michael L’allier, agrees, “I mean the federal assistance definitely helps. It aids us in making sure that we are able to have a staff on hand while still being able to pay for utilities and mortgages and everything like that that we do have overhead as a small business.”

From March to June, hotels were forced to shut down following orders from the Centers for Disease Control and Prevention and were only allowed to house essential workers. By mid-June, Humboldt County allowed for hotels to re-open for tourism.

These constant changes in health guidelines are causing hotels to continuously lay off and re-hire staff members.

Despite the pandemic, Carter House Inn has been doing well because people from larger cities have been fleeing to rural areas like Eureka.