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Puerto Rico Outpaces U.S. in Hospitality Jobs

Thursday, October 09, 2025 Research

Air capacity grows in Ponce and Aguadilla toward year-end

According to the Puerto Rico Ports Authority, arrival counts at the regional airports of Ponce and Aguadilla picked up slightly during the summer season, with Ponce matching its previous August performance and Aguadilla welcoming 14% more arrivals than last year.

However, year-to-date arrivals at both regional airports have decreased by 9% with notable decreases experienced between February and May.

For the last quarter of this year, the combined capacity for both airports has increased by 8%, with Aguadilla enjoying 4% more seats and Ponce's capacity increasing by 23% compared to the same period last year.

In looking at the first quarter of next year, the schedules currently available amount to 84,000 seats to Aguadilla, a decrease of -19% mostly accounted for by fewer seats from Orlando (-27%) and New York (-31%), while service from Fort Lauderdale is up 22% and Newark remains flat. Please note that ultra-low-cost carriers may delay submitting schedules this far in advance, which could impact the current seat forecast.

Meanwhile, seat capacity to Ponce for the first three months of next year is 16% ahead of last year, with Frontier growing capacity from Orlando to Ponce by 50%.

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Puerto Rico outpaces national trend in hospitality employment

Employment data tracked by the Bureau of Labor Statistics currently estimates that the August Puerto Rico Leisure and Hospitality job market increased by 4,500 local jobs, reaching nearly 102,000, a 5% increase from last year and 27% more than in 2019.

In contrast, at the National level, August Leisure & hospitality jobs grew by just 1.4% year-over-year and 2.7% more than in 2019.

The broader U.S. labor market added only 22,000 jobs month-over-month in August, with a three-month average of 29,000, suggesting a slowdown in national job creation.

The unemployment rate rose to 4.3%, reflecting job losses in the federal government and energy sectors, which offset gains in health care.

Millennial and Gen Z optimism grows in travel plans

According to the September 2025 edition of Future Partners' "State of the American Traveler“, while enthusiasm for travel spending has softened slightly, the overall outlook remains resilient.

About 33.1% of Americans feel financially better off than a year ago, and 47.1% expect their household finances to improve in the next 12 months. Younger generations, specifically Gen Z and Millennials, are the most optimistic, with over 61% expecting financial improvement; however, they are also the most likely to adopt cost-saving travel strategies. Baby Boomers, despite being less financially optimistic, are planning the most leisure trips and are the least likely to cut travel spending.

Travel remains a priority for most Americans, with 91% planning at least one leisure trip in the next year, averaging 3.7 trips per person.

Interest is surging around major upcoming events like the Route 66 Centennial, with 50.9% of travelers expressing interest, especially Millennials and urban parents of school-aged children. Meanwhile, America 250 events and the 2026 FIFA World Cup are also drawing attention, particularly among younger, diverse, and digitally engaged travelers.

Despite economic caution—nearly half expect a recession—travel continues to be viewed as a worthwhile investment, with strong demand and cultural milestones shaping future plans.

Travel prices rise in the U.S. after seven months of stability

According to the U.S. Travel Association, in August 2025, the U.S. Travel Price Index (TPI) rose by 1.5%, marking the first monthly increase since January and outpacing the general Consumer Price Index (CPI), which rose by 0.4% for the month. The uptick in August was driven primarily by rising prices in airfares, hotels, and gasoline, signaling renewed demand and seasonal pressures in the travel sector.

Breaking down the components, airfare prices jumped 5.9% in August, following a 4.0% increase in July, and are now 3.3% higher than last year, slightly exceeding overall inflation. Hotel prices rose 2.6%, reversing five months of declines, though they remain 3.7% below their August 2024 levels. Gasoline prices increased by 1.8% but remain 6.5% lower year-over-year, reflecting ongoing volatility in the energy markets. Other travel-related categories, such as recreation (-0.2%) and food and beverage away from home (+0.3%), showed minimal movement. These mixed trends highlight a complex inflation landscape for travelers, where some costs are rising sharply while others remain stable or even declining.

U.S. inflation rose to 2.9% year-over-year in August, signaling persistent price pressures. This inflation uptick, combined with modest job growth and rising unemployment, paints a mixed picture of the national economy. While Puerto Rico’s hospitality sector shows promising growth, the overall U.S. economic indicators suggest caution, with inflation and sector-specific job losses tempering optimism.

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