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Federal travel rules ripple into the economy

Aug. 6, 2014 - 03:43PM   |  
By MICHAEL HARDY   |   Comments

A Marriott official blames federal travel restrictions in part for the sluggish performance of Washington D.C.’s hotel industry while the rest of the nation has seen an overall improvement.

The district “hasn’t had the same kind of economic growth that you have in other markets in the U.S., and government travel still hasn’t really come back,” said Laura Paugh, Marriott’s senior vice president of investor relations, in a Washington Post story.

Federal employees around the country are less likely to travel to Washington to visit their agency headquarters, or to attend conferences hosted by government-related associations.

RELATED: Research group pushes back against travel cuts

David Loeb, a lodging analyst for Robert W. Baird & Co., also pegged some of the problem to federal travel policies. “The government is still being run on a very, very tight budget,” he said in the article.

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