On the Dash:
- Flight delays and cancellations are driving a surge in car rentals as travelers seek alternatives during the government shutdown.
- Car rentals have sharply increased, with Turo up 30% and Hertz up 20% year-over-year.
- FAA staffing shortages and early retirements have forced a 10% flight reduction at 40 major airports, worsening travel disruptions.
The ongoing government shutdown has triggered a surge in one-way car rentals as flight delays and cancellations disrupt air travel nationwide. Travelers are increasingly opting to drive as major airports grapple with staffing shortages.
Turo, a car rental marketplace, reported a 30% increase in bookings since flight cuts were announced. Meanwhile, competitor Hertz has recorded a 20% year-over-year increase in one-way rentals.
Air traffic controllers have been working without pay since the shutdown began on Oct. 1. Although required to report to work, the Federal Aviation Administration (FAA) says 20% to 40% are failing to report to work, while retirements have spiked sharply. To manage the risk, the FAA has ordered a 10% reduction in flights across 40 high-traffic airports.
Many travelers are grappling with extensive flight delays and cancellations, prompting a rush to rent cars to reach their destinations.
While the Senate took a major step toward reopening the government late Sunday evening, the timeline for resuming normal operations remains uncertain. The shutdown, now the longest in U.S. history, continues to ripple through air travel and other government-funded services.
