First, we want to allay your fears. It isn’t Hawaii that’s in a shambles. Hawaii is great, always has been and always will be. Things here are going moderately well under the most unusual global and local travel circumstances any of us has ever experienced. But the industry is clearly in a far greater state of upheaval than we would like to believe.
Our word pick for this is “Shambles: a state of confusion, bad organization, or messiness.” Here’s why it fits the situation.
Travel has often been described as the largest industry in the world. It results in more than 10% of global revenue generation. In Hawaii, it’s proportionately much larger and either directly or indirectly impacts virtually all of us here. Travel may have accounted for 1 out of 4 new jobs created pre-Covid globally, and in Hawaii, even more.
Hawaii travel demand still isn’t fully returned to normal as we await the full resumption of international travel. But even before returning completely to prior demand levels, it’s clearly become a nightmare for both those in the industry and for Hawaii visitors.
Experts say we aren’t even close to being through all of this upheaval. Recent examples here in Hawaii exemplify that. We’ve seen estimates that this could go on for another solid year or even longer.
Industry-wide staff shortages are persistent. Whether it is hotels, restaurants, activities, or car rentals. For whatever reasons, employees didn’t return to travel industry jobs and there just aren’t enough of them. Those who have returned are often faced with significant overtime to try to make up for the inadequacies. And that isn’t working well for morale in the travel business, among other problems.
Case in point. As commenter, Georgia said, they were marooned on the tarmac at Honolulu for over 90 minutes because there was no staff to provide a jet bridge.
“Our 531 flight on Alaska Air from LAX to HNL was on time but we sat on the tarmac at HNL for at least 1.5 hours waiting for the gate/jetway to become available so we could disembark. They told us it was a lack of staffing.” Not a great welcome to Hawaii.
How and when is this ever going to get fixed? There’s hope that by next year, better systems and more people will be in place to help in Hawaii travel. Even then, do we really believe we can return to how smoothly things worked before Covid? That ship has probably sailed, and we can at best strive for a new experience that’s better than what we have today.
What hasn’t changed is people’s desire to travel. But how we travel is in a state of flux. It’s a time to dig deep for increased patience, and readjusted expectations. We hope that Hawaii travel will ultimately improve to become a higher-quality experience. But in the short-term, that simply won’t happen.
1. Big trouble at the airlines flying to Hawaii.
Why is it so difficult to get the airlines back on track? Is there anything that can be done? Flight cancelations, delays, labor disputes and staffing shortages seem to dominate airline news. UAL said this, “Most airlines are simply not going to be able to realize their capacity plans.” At Southwest, the airline cut nearly 20,000 flights from their summer schedule, including Hawaii flights, with that reality in mind.
Airfares have risen more than at any point in the past 60 years. If it isn’t about the airlines and the pilots, then the subject turns to airfares. Nationally, those just saw their largest increase in decades. According to financial analysts at Cowen, airfares jumped 50% in the last week of May, compared with the prior year. Except for the occasional sale on highly competitive routes, we see it on Hawaii flights.
Airlines and pilots’ union disagree. While the airlines say they don’t have enough pilots, the largest pilots’ union says there isn’t a shortage of pilots. Huh? ALPA said that airline mismanagement, schedule reductions and “profit-based business decisions” are the cause of the pilot issues.
Alaska Airlines. Last month, Alaska pilots voted to strike, and that’s pending preliminary steps. Alaska has had a spate of cancelations related to pilot shortages. They’re in a bitter dispute with pilots over their new contract, and as a result dozens of Alaska pilots are said to have moved on to other airlines.
Hawaiian Airlines. There have been several issues at the Hawaii bellwether carrier. This week the airline had an unusually high number of flight delays, as we reported. Previously, Hawaiian canceled dozens of flights related to pilot shortages and an interisland flight training simulator. The company is trying to add cockpit crew and has offered a $10k sign-up bonus and $81/hour starting pay to first officers.
Southwest Airlines: get ready for June 21.The airline has both a pilot shortage and a labor dispute. Next week, 1,000 or more pilots plan to demonstrate against SW at Dallas’ Love Field.
United Airlines. That company says, “the pilot shortage for the industry is real, and most airlines are simply not going to be able to realize their capacity plans because there simply aren’t enough pilots, at least not for the next five-plus years.” Five+ years, really?
Hawaii flights are getting delayed frequently of late, and the future may bring more cancelations, too. With no official word, the cause is likely inadequate staffing amid a very tight labor market.
Today the airline CEOs are meeting with U.S. Transportation Secretary Pete Buttigieg regarding all of the delays and cancelations.
It’s not just the airlines. It’s the airports too. Two U.S. senators recently raised concerns about what’s happening at airports, and with flight delays and cancelations. They’re looking back at Memorial Day holiday weekend and trying to prevent a similar situation on July 4. We just saw today that at one airport, Europe’s Schipol, they will be limiting the number of flights and passengers processed this summer due to helps keep things working while having inadequate staffing.
We reported that on Sunday and Monday, there were 272 Hawaii flights delayed. And it isn’t over. At Honolulu on Wednesday, there were another 53 domestic flights delayed (25 Hawaiian, 17 Southwest, 9 United, and 2 Delta. Plus, 3 United flights were canceled entirely.
How airlines operate. These companies rely on a highly complex combination of people and technology, and it all needs to fit together precisely for operations to run correctly. Staffing shortages in any one area impact the entire operation. When anything goes wrong, we see massive delays and then flights are canceled.
When will this end? We’d all like to believe that this will improve soon, but everything we hear is that isn’t going to be the case. It’ll take time to find, hire, and train people, if that’s even possible. One example of technology helping to a greater or lesser degree, is the automation being installed at Hawaii airports. We reported on Lihue Airport improvements, which should reduce TSA staffing burdens through greater automation with improved results.
2. Hawaii hotels and Hawaii vacation rentals are priced out of this world!
We recently reported that Hawaii hotels jumped to having the highest rates we’ve ever seen here. They also have the dubious honor of being the most expensive in the U.S. Guest satisfaction is falling across the industry, too. Hawaii hotels first had to reduce their staffing during the pandemic. Then, when Hawaii travel resumed faster than expected, they were caught off-guard. Many of the staff didn’t return while new staff had to be added and trained. So the guest experience can be less than expected, including in hotel restaurants and housekeeping.
One commenter said, “How can you afford to stay in a hotel in Hawaii? The usual $350-375 partial ocean view at the Big Island’s Waikoloa Beach Marriott is over $1,000 per night!”
Another added, “If you can overlook the issues and just enjoy the sand, sun and sea, it’s still our favorite spot. Our favorite condo increased over last year about 30%, next year it increases another 65%!! We may be looking elsewhere if this continues.”
Hawaii hotels and vacation rentals are revamping technology, too, and online reservations are working better than ever, eliminating some of the prior need for human interaction. Over time, the result will be a leaner operation where customers can hopefully also achieve greater satisfaction. But as this comes to fruition, patience is a virtue.
3. Hawaii car rentals. What more is there to say?
With some of the highest prices in the country, and availability that’s recovering far too slowly, this has been an albatross for Hawaii visitors. Across the car rental industry, satisfaction is down, which comes as no surprise. Even when looking at prices even in the off-season, the new low price seems to be close to $100/day.
4. Marketing runs amok: Hawaii Tourism Authority, HVCB and The Council for Native Hawaiian Advancement.
We reported earlier this month on Hawaii’s marketing quagmire as the state’s Hawaii Tourism Authority (HTA) abruptly canceled its 20-year marketing contract with the century-old Hawaii Visitor And Convention Bureau (HVCB). The contract was awarded instead to a member-based non-profit with no apparent travel marketing experience, whose mission is “to enhance the cultural, economic, political, and community development of Native Hawaiians.”
Since that change was announced, there have been odd and uncomfortable back and forth statements and emails from both HTA and HVCB. Suffice to say, no one is happy here, and we’ll be surprised if this can end amicably. We’re watching for HVCB to challenge the new contract in the next few days.
But, looking at it in another way, there’s been an enormous amount of trouble and controversy at both HTA and HVCB for years. So any shakeup may be a step in the right direction. This change coincides with Hawaii implementing controversial visitor destination management and marketing plans for each island.
We very much welcome your input on this developing story.
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Jamie J says
We have been traveling twice a year to Hawaii for family vacation for 14 years. We did not go while covid restrictions were in place. We went as soon as they stopped them. Found a cheap flight, no problems with our flight. However our top 3 hotels were outrageous! Used some points at marriot resort. Ok. Staff shortages were o virus. Car rental very difficult and expensive. However. When we returned home began planning for the family to go in june> not happening!
Flights skyrocked in the 3 weeks since we returned home almost 2.5 times the usual! Ridiculous. Hotel is usually $250 night now $450!Will abolutely not be paying that. I will miss Hawaii but not going to be scalped to go.
Tom W says
We stayed in Waikiki Beach the week of Memorial Day and had no issues. Southwest was on schedule. We Ubered instead of renting a car. Rented a Turo for a day trip to North Shore. Food is expensive everywhere, but a wonderful time overall.
Don T says
Having recently visited Kauai we find these observations spot on. It was our most difficult visit since shortly after Iniki. We we saddened by the stories told by locals as they try to navigate these times. They are frustrated and the ever growing housing shortage for service industry employees seems to have reached a critical level, especially in the Princeville area. We are lovers of Kauai, would accept any condition to enjoy its beauty, and will keep visiting no matter what. We have advised “Hawaii nevers” to not visit for now. It is too difficult to find dining or an activity. Many locals have understandably lost touch with the Aloha Spirit.
Praying for the balance to return. Thank you. Don and Amy T, Pittsburgh PA
Steven T. says
We had plans to visit the islands in 2019 and cancelled due to Covid. Fortunately we received refunds on most everything we prepaid. Now after after canceling subsequent year plans we’re making the trip this year. Rental car rates havve increased at least 3x. Our hotel reservation in 2019 was about $500 a night at a 4+ star resort on the Big Island. This year it’s $3,000 a night, so we made reservations elsewhere. We’re expecting this years trip will cost about 3x what we expected in 2019.
Sue L says
I hope you can help me with a question about a recent change in Oahu rentals.I am a yearly visitor and I found out that a new law, Bill 41, will change short term rentals from 30 days to a 90 day minimum requirement. (The unit I rent in Waikiki is not included in the exempt resort zone) I do understand the need for affordable housing and think this is positive in many ways. However, since this bill affects so many visitors I was just wondering if you had heard of any recent developments on this issue. I heard rumors that some rental condo owners will challenge bill 41 in court and I thought you may have an insight into the status of the new 90 day rule.
Condoleza C says
Only for new units. Any existing Permitted vacation rentals will remain the same.
Ernie S. says
To Ken G, Happy 50th Anniversary! Very glad to hear that You haven’t found any of the negativity that some have encountered. Not many people have been inconvenienced by this, it’s unfortunate that anyone has. Ernie.
Kauaidoug says
Editors, I can tell you that here on Kauai we are experiencing the tsunami of visitors right now. In Waimea the canyon is bulging with folks eating and shopping. My favorite eating place in Waimea had people lined up and out the door. What used to take 2 minutes to place an order is now a 15 minute wait. Good for them but patience for the hungry. I just wonder where are all the workers? Not everyone can start their own business?
Gaylord p says
Keep beating the golden goose and don’t be surprised when it flies away for ever. Good luck with those high paying manufacturing jobs oops they don’t exist
Jim F says
We love Hawaii but with hotel costs and car rental so high we are waiting for lower costs. Sitting on free flights but can wait for things to get back to more normal. Alaska airlines same problems flying in US had to wait 20 minutes for a ground crew to get us into our gate in Seattle. Resort fees also turn us off to some properties.
Rod W says
Jim, my pet peeve – Resort Fees. First just tell us what the cost of a night at your dive costs, including Resort Fees.
But, what is a Resort and when should a hotel be able to call itself a resort. The 2 absolute minimums are an on-site golf course and an on-site swimming pool. Without both, it’s not a resort.
Why do they separate the nightly rate anyway – in my opinion, so they don’t have to pay commission on the resort fee which is always collected at the hotel.
sandy S says
It is confusing when they don’t include it. Just when you think you found something affordable, they pop up with the Real price…..which ends up being almost double….
Kathy K says
No one loves Hawaii more than us but all of this can be summed up with: we are still in a global pandemic that governments and people are trying to ignore and rush back to “normal”. Covid is coming wave after wave and if we don’t tamp it Way down with indoor masking, ventilation infrastructure, Far UV technology, and sterilizing mucosal vaccines then it will continue to get worse. Unfortunately it may take much longer than another year for people to realize we have to fight Covid like a war, not like a minor issue we can wish away.
James B says
By now you have noticed that 3x the people disagree with your factual statement. Sadly, our post truth world leaves no room for those who believe that facts and common sense matter. Our islands, as with many counties in the U.S., are experiencing the next surge. This time the numbers reported are probably undercounted by up to 10x the actual infection rates due to home tests and unreported infections.
It’s as if people have decided that the previous WWII was over two years in because they said so.
Ken G says
Currently in the midst of our first trip to Hawaii. Planned and booked everything, flights, hotels, cars, dining, etc in March and April. We are enjoying this so much. Staff has been great, no long waits, friendly people. Can’t understand why there is so much negativity on these posts. 50th Anniversary vacation: 5 days on Oahu, our 5th day on Kauai and heading to Maui tomorrow. This is truly paradise.
Mike J. says
I have little sympathy for executives who fired/laid off/downsized people over the last five years and are now whining about being being understaffed. All of these issues originate from stupidly made rash decisions made by executives in the past.
Instead, execs are being rewarded because they’ve used their screwups to justify price gouging. They’ll reap record profits in spite of their mismanagement because demand is so strong.
Ms. C says
I use to live on Oahu years ago. I have a business that is needed there and would make so much money. I wanted to move back with my daughter. My daughter was accepted to UH Manoa. We have been looking forward to moving out there. I also had a few job interviews set up until my business started bringing in money. Was ready to move out there but the cost of housing is crazy! A crummy 1 bd place is 1800. In Atlanta 1800 gets you a nice 1 bd. If you want a nice place in Hawaii you have to spend almost 3000. Who has that kind of money? I can rent a mini mansion for that in Atlanta. I understand the locals want their land but if prices keep going up how will the locals make it if no one is able to visit or bring new business or money?
PegM says
That Hawaii rent is pretty much the same as here in San Diego. I know nothing about Georgia rentals but in California we’ve dealt with this for decades and it keeps getting worse.
Keoni M says
When you mix the homeless, with the criminal element, who have no respect for the law (burning surfboards near mini police precinct), then you have a recipe for disaster, because the liberal arguments that the homeless and the criminal element have the right to terrorize the tourists.
Ernie S. says
The Airlines have a responsibility to their bottom line. Pilots are finding that they are being pressured for more hours and flights. Covid forced many Pilots and other Airline Employees out of their jobs for no good reason. Now everyone is paying the increasing prices of poor decisions coupled with Higher Fuel Prices and Expenses across the board. Not a thing that Hawaii can do about this problem but sit back and wait for it to turn around. This hurts everyone including the Tourism Industry. Thanks.
Ernie S. says
Whether a native Hawaiian or not, a transplant or Tourist the State of Hawaii is a special place and should be treated as such so that it shall be here for centuries to come. Choose to keep Hawaii Beautiful, do your part and show that you care, treat it as someone’s home that you’re visiting, because it is, showing respect and manners to everyone isn’t difficult. Thanks!
Ernie S. says
Housing Costs have Skyrocketed and with no end in sight many could be faced with homelessness before too long. Subsidized Housing seems like a possibility but will take a large investment in land and money to achieve. The amount of Housing will be Substantial as more families fall through the cracks every moment. Is this going to be the fate of Hawaii? What other options are there? It will be a very interesting conversation to find out. Something Needs to be Done.
Rob t says
You are correct, housing is the WW III of this generation.
We must get corporate and foreign ownership out of US housing. For example,do you know a Canadian company Tricon has purchased 35,000 US homes as rentals? Would we allow someone to buy up all the food and medicine and charge double or triple?
One home allowed per one social security number would fix the problem.
Rod W says
Ridiculous. So, if I could afford a 2nd home, I would not be allowed to buy it under my SSN.
Sounds like China’s old one-child policy.
Next, you’ll be telling us we can only buy one roll of toilet paper a week.
We live in a country with many freedoms, you would take them away. In your world, people are unable to take care of themselves.
Rob T says
To add insult to injury, Canada just passed a law banning all foreign home buyers for the next two years while Tricon from Canada and other Canadian companies are buying up US homes. Rod W you offer no solutions, the system is rigged by big government and big business colluding to pick winners and losers.
Have you seen ” A Wonderful Life”? Young people live in Pottersville.
People can’t take care of themselves when money is printed out of thin air and given to US oligarchs.
Rod W says
Rob T, you are right, I offer no solutions. Because no govt imposed rule will help. Only time and balancing supply and demand will fix the problem. That balancing will come sooner without govt interference.
If the govt blocked corporate and foreign investment in the US housing market what would the result be? Answer that honestly and you will know why it makes no sense.
Aloha!
James B says
Without government regulations, your life would be incredibly different in so many ways. To lay your bended knee at the foot of corporations with only one objective — increased profits — has as much relevance in today’s world as oil companies who would rather rake in absurdly high prices than increase supply. A Libertarian island is not a vacation destination.
Rob T says
Why do people always end rude comments with aloha? Try to have polite discourse if you want to persuade others.
First you make a snide comment about toilet paper as if that is equivalent to housing.
Then you admit you have no constructive ideas.
Prices of houses will fall and supply will increase if corporate and foreign buyers are no longer allowed.
I think that would be awesome.
Young people need help now.
Rod W says
I wrote this to you:
If the govt blocked corporate and foreign investment in the US housing market what would the result be? Answer that honestly and you will know why it makes no sense.
I’m waiting.
Also, be sure to tell me how limiting supply will help anyone – young, old, or middle-aged.
And if you think my reply to you was rude, you don’t know rude.
Rob T says
I wrote “Prices of houses will fall and supply will increase if corporate and foreign buyers are no longer allowed.”
I mean corporate buyers should be forced to sell all their houses now. That would increase supply instantly and prices would plummet.
Problem solved.
Ernie S. says
There’s Many Complexities to the problems facing Hawaii, you’ve identified many. Addressing the Entire problem is Impossible, too many Uncontrollable Circumstances. Hawaii needs to realize this and then take on what They are Responsible for. Improving Airport Services, Demanding more Trained TSA Staffing, Decreasing Reliance on “Social Assistance” to Encourage Employment, and Whatever can be done to make Hawaii Better for Itself and in turn for Others. Much Can be done if a Better Hawaii is the Goal!
Ernie S. says
All of the problems facing the State of Hawaii may begin to turn around, at least portions of it,when people are forced to find jobs. Another debacle was caused by not continuing with the prior Agencies for Tourism and Business. If it is True that problems existed with them the AG of Hawaii should have stepped in and Investigated Irregularities and presented charges. Taxing anything that is alive drives prices, Tourists seem to be looked at like Banks full of money to erase Societies Ills, they’re Not. Time to clean up the messes that have been made and maybe that portion will turn around quickly. If Not, can Hawaii Afford to pickup the costs of less Tourists? Think about that!
Tom S says
We and friends traveling separately had some interesting experiences in May, contrasting experiences:
1. It took them 2 hours to get their rental car on Kauai. I got mine in 25 minutes on Kauai and 3 minutes on Oahu. Biggest difference I was a member of the customer affinity program.
2. Maui to Kauai on HA, took 90 minutes to check bags. Kiosks worked buy no one to accept the bags. We had no problem.
3. Checking rental car back in…. On Kauai, they asked if I could wait until I could get the car in the driveway. Maybe 10 minutes max.
4. Checkin at resort was a little slower on Kauai, fast at second place, and ok on Oahu.
5. One-stop flights in were on time, bags reasonably fast. One stop to the mid-west likewise good.