Case for Meetings
Because of the irresponsible actions of a few Troubled Asset Relief Program recipient companies, there’s a movement to prevent TARP recipients from hosting, sponsoring or paying for all conferences, holiday parties and entertainment events during the year in which they receive funds.
Because I have built my career on promoting many aspects of sound public policy for the Golden State, I applaud efforts by the federal government to stop abuse of TARP funds.
However, the ill-informed, anti-meetings rhetoric that is a popular bandwagon these days is seriously harming a legitimate and relevant industry. Now is not the time to stop holding meetings and events, as they can actually help spur more economic growth.
As the chair of the U.S. Travel Association, I would like to set the record straight about meetings and why they’re still an important component for business,especially in today’s economy. Meetings and events are valuable business tools for companies seeking to reward and develop their hardest-working employees, including professional development and networking opportunities that keep them growing, productive and motivated.
Over the years we’ve all heard about technology making meetings obsolete. But the truth is that nothing can replace the interpersonal connection of face-to-face meetings and events. And for the destinations hosting these meetings and events, canceling can costs millions in needed revenue and job support.
Orange County relies heavily on meetings and conventions. In February, the county’s unemployment reached a 15-year high of 7.8%. Last month, passengers at John Wayne Airport dropped 17% from a year earlier to 583,076 travelers.
Because of the rhetoric, companies that have received emergency government support,and many more that have not,have canceled thousands of meetings and events. In a recent USA Today report, meetings, events and incentive travel planners said their business was down by about 35%.
While I agree that companies that receive taxpayer dollars need to be accountable, the answer is not to discourage people from meeting. The solution is to create a responsible meetings and events policy that companies can adopt. The U.S. Travel Association, along with other organizations in the travel industry, has developed a recommended clear meetings and events policy that supports legitimate business.
Without this policy, 2.4 million business travel-related jobs in the U.S. are at stake. Without the 1 million jobs that travel for meetings and events creates nationally, unemployment in the U.S. would jump from 7.6% to 8.2%. In addition, business travel generates $39 billion in tax revenue nationwide, which helps fund public schools, police and fire departments and other essential services in every community across the country.
If we want to support economic recovery and growth, we must support the travel industry, which is responsible for one in eight American jobs and impacts every region of the country. A decline in meetings and events will,quite simply,cost people their livelihoods and negatively impact companies, including hotels, restaurants, florists and thousands of others.
Since California has the largest economy in the U.S., with $36 billion in business travel revenue, we could be one of the most impacted states if our meetings and events industry declines over the long term.
To date, economy-related cancellations of meetings and conventions in Anaheim, Los Angeles and San Francisco alone have accounted for an estimated $80 million to $100 million loss in potential revenue for the state in 2009 and beyond.
For this reason, we need to support meetings not only on a national public policy level, but on a local level. California companies who for economic or PR reasons are considering cancelling their meetings outside of the state can support the state economy by hosting their meetings locally or in another region of California, saving on travel and supporting jobs at home.
Informed people who are as concerned as I am can halt dangerous political rhetoric and take action quickly to keep the meetings industry healthy. Just log on to the U.S. Travel Association’s www.meetingsmeanbusiness.com site, where you can write your officials, sign the travel industry’s petition and utilize a variety of resources to educate others about the value of meetings and events to communities around the country.
Caroline Beteta,
Chief executive
California Travel & Tourism Commission
Sacramento
Viva El Toro?
Here’s an upside to all the downside of local layoffs, tax increases and government stimulus spending during a downturn in our economy.
The city of Irvine has complete control over the currently closed, carefully preserved former El Toro Marine base.
The Great Park was conceived to checkmate county plans for an El Toro airport but now is irrelevant as Irvine has annexed the property.
No doubt some vanity seekers still want a park, and some housing developers would like to fill it up with houses. But neither can happen as the area is contaminated, which does not affect the airport but is an issue for building houses or a park.
There is Internet media that has ignited new airport wars and contains uplifting positive success stories to read. Now that the NIMBYs have been rendered impotent, Irvine may wish to make lots of money from El Toro by opening the airport over on the east side of town, out of the way, up against toll roads and a National Forest.
Donald Nyre
Newport Beach
