Las Vegas is experiencing increasing turbulence, not on the casino floors, but in the skies above. Harry Reid International Airport faced delays or cancellations on more than a quarter of all scheduled flights on Monday, leaving thousands of travelers stranded and tourism-dependent local businesses bracing for an economic hit.
Cancellations Are on the Rise
The turmoil coincides with the ongoing federal government shutdown, which has significantly impacted air traffic control operations and triggered widespread cancellations across the country. FlightAware reports that over 2,200 flights were affected nationwide on Monday at major airports like Chicago O’Hare, Phoenix Sky Harbor, and all three of New York’s primary airports. However, Las Vegas has been impacted particularly hard.
For the Strip, the timing of this disruption could not be worse. It is happening just weeks before the Formula One Las Vegas Grand Prix, a high-profile event expected to draw tens of thousands of high-spending visitors. However, flight delays and cancellations are raising questions regarding the city’s ability to handle the influx. Some local economists fear that the disruptions could dampen what was expected to be a record-breaking travel season.
An MGM Resorts representative confirmed a “slight uptick” in cancellations tied to travel uncertainty. Other hotels, such as ARIA and Caesars Palace, have also reported a similar pattern. A spokesperson for the Las Vegas Convention and Visitors Authority (LVCVA) noted that the agency is monitoring the situation and urged Congress to act swiftly and resolve the ongoing deadlock.
A Continued Shutdown Could Have Lasting Consequences
The US Travel Association, joined by hundreds of hospitality and airline companies like MGM Resorts, Caesars Entertainment, and The Venetian, recently sent a letter warning that the shutdown has already cost the travel industry $4 billion. They warned of an impending disaster for the sector if the disruptions extend into Thanksgiving.
Travel disruptions like this underscore why the LVCVA joined others in urging Congress to reopen the government.
LVCVA statement
Meanwhile, the Nevada Resort Association is downplaying any significant impact on hotel occupancy. However, casino recruiters and local economists appear less optimistic. UNLV professor Stephen Miller predicted that the federal shutdown could exacerbate existing challenges, such as inflation and visitor fatigue, to dampen the region’s economic progress.
For a city like Vegas that relies on a constant influx of visitors, stalled flights mean more than inconvenience, threatening to disrupt vital operations. A continuing federal shutdown may complicate travel plans for the hundreds of VIPs and corporate sponsors expected during marquee events such as the Grand Prix, depriving local businesses of a vital lifeline.