Worker Shortages At New Jersey Shore 'Affecting Their Hours Of Operation'

By Bob Pepalis | The Center Square contributor, The Center Square New Jersey

May 8, 2022

(The Center Square) – "Staff shortages for New Jersey’s shoreside destinations have forced businesses to reduce the hours they are open to cope even as the number of tourists visiting the beaches rise," the state’s tourism chief said.

"The summer season creates 60% of the state’s tourism receipts in its 21 counties. And the four oceanside counties generate 60% of that number," Jeff Vasser, executive director of the NJ Division of Travel & Tourism, told The Center Square.

“Obviously, I don't think we're going to be back to 2019 levels just yet. But hopefully, in another year, we will be,” he said.

A survey by AAA released on April 19 reported that a third of the state’s residents plan more summer travel. Twenty percent of them say they will make their first major trip since the pandemic’s start in 2020.

"People still want to be outside and be with the people that they know. Being able to drive to the Jersey Shore is a big help for the state," Vasser said.

Despite an increase in domestic air travel, people remain apprehensive about getting on an airplane – to say nothing of the cost, Vasser said. Gas is still cheaper, though it will be a challenge this summer.

Vacationers from New York, Pennsylvania and New England, which are key feeder markets for the state, may have gone down to Hilton Head or Myrtle Beach in South Carolina, especially golfers, he said.

“They're going to stay closer to home. And that works to New Jersey's advantage,” he said.
But a worker shortage is affecting the shore businesses.

“What we're finding so far is that it's affecting their hours of operation,” Vasser said.
Businesses that are normally opened full time by Mother’s Day are pushing it off to Memorial Day. The state agency has found these businesses are cutting hours and may close on Mondays and Tuesdays.

A related issue that he said will be big this summer is the J-1 visa. Many student workers on the boardwalk have been J-1 visa holders and are in the United States to study. They work in places like the shore while they are enrolled in school.

Many communities will now target the countries that process J-1 visas quicker. “A lot of people came from the Ukraine area and Russia. I'm assuming we're not going to see those folks. They've got, needless to say, bigger issues to worry about than coming here to work on the boardwalk,” Vasser said.

"In response to these worker shortages, the NJ Division of Travel & Tourism is trying to make tourism not just a summer job, but a career," he said. "Pay rates are going up along with the minimum wage. The agency is collaborating with workforce development groups around the state and the hospitality schools to make sure everyone knows tourism is a full-time job," he said.
“In Atlantic City, for instance, the casinos are trying to do their part by offering benefits that they hadn't before,” he said.

An example he said was that casinos are offering to pay for job applicants’ blackjack dealer training. That saves thousands of dollars for a worker.

"Tourism is the fifth-largest industry in the state, with approximately 350,000 jobs," he said.
“The only variable from a good season to a great season is weather,” Vasser said.

"A gauge that shows whether the state will have a good or great season is the pace at which vacation home rentals take off," he said. If a visitor looks to come in April and all the week rentals are sold out, it’s going to be a great season. If weekly rentals are still available in May, it will be a tough season.

“Fortunately, this year, everything was gone in March. So that's a good indicator of what we're going to be looking at,” he said.

A survey released by the American Hotel & Lodging Association on April 20 suggested leisure travel will reach pre-pandemic levels nationally. But Garden State tourism industry leaders aren’t so sure.

“We’re seeing some corporate travel coming back, but it’s not what it used to be. Mostly everything is still done via Zoom,” Bhavesh Patel told NorthJersey.com. Patel is an owner of ADM Hotels, which is in the midst of buying and selling several New Jersey hotels this year.
"It will take time for the travel and tourism industry to rebound from the pandemic," Joseph Simonetta, executive director of the New Jersey Tourism Industry Association, told NorthJersey.com.

“Every time a new variant is talked about in the media, people are hesitant to go into hotels or venues, or anything in an enclosed space,” he said, the article reported.

The focus of the work of The Center Square New Jersey is state and local-level government and economic reporting that approaches stories with a taxpayer sensibility.