An empty Strip and fewer tips: Is Las Vegas in trouble?

Workers report worst business conditions since pandemic as tourism drops 11.3 percent
Gloria Valdez has weathered many storms during her 15 years as a hostess at a steakhouse in the D Casino downtown, including the complete shutdown during COVID-19. But the 38-year-old single mother of two says she’s never seen business this bad.
“The pandemic was something that was worldwide, and we had the hope that everything would get better,” Valdez told TIME magazine. “We’re not sure if and when this is gonna stop.”
Her concerns echo throughout Las Vegas as the entertainment capital experiences a dramatic tourism slump, with visitor numbers plummeting 11.3% in June compared to last year. The destination hosted only 3.1 million tourists that month—approximately 400,000 fewer visitors—while international arrivals dropped 13% and hotel occupancy fell nearly 15%.
The ‘Trump slump’ debate
What’s causing the downturn has become a contentious issue. Ted Pappageorge, secretary-treasurer of the Culinary Union representing 60,000 hospitality workers, calls it the “Trump slump,” linking the decline to immigration policies and international tensions.
“If you tell the whole world that they’re not welcome, they’re not going to come,” Pappageorge said, noting that 45% of his union members are immigrants from 178 countries. “The lifeblood for Las Vegas is Southern California. What folks are telling our members is that the raids and crazy tariffs and this uncertainty, [are causing] people to pull back.”
The Las Vegas Convention and Visitors Authority has attributed the downturn more broadly to “economic uncertainty and weaker consumer confidence,” while resort operators cite normal seasonality after 2024’s record highs.
Empty tables, smaller tips
The impact on workers is undeniable. At her downtown steakhouse, Valdez reports barely having reservations most nights. “Sometimes we have 10-20 at most,” she said, a fraction of normal business.
Holly Lang, a 47-year-old cocktail waitress at MGM Grand, has watched her tip income steadily decline. “I’m seeing a lot less ups than I normally would,” she explained. “When the economy is shaky, travel is one of the first things to go. If people are uncertain about things, we’re an expendable thing for them.”
“We’ve definitely got a lot less foot traffic and a lot less people gambling,” Lang added. “A lot of the tables are empty.”
Social media has amplified workers’ concerns, with one TikTok user identifying herself as a Strip waitress reporting: “Last year, around this time I made $300-$500 in tips, and today I just walked home with $124.”
International visitors vanish
The decline in international tourism has been particularly steep. Canadian visitors—traditionally Vegas’s largest international market—have plummeted, with airlines reporting dramatic drops:
- Air Canada: down 22%
- WestJet: down 34.6%
- Flair: down 64%
A World Travel and Tourism Council report projected the U.S. would lose $12.5 billion in international travel spending in 2025, making it the only country among 184 assessed to experience such a decline.
“While other nations are rolling out the welcome mat, the U.S. government is putting up the ‘closed’ sign,” said WTTC president Julia Simpson.
California connection weakens
Data shows one in five Vegas tourists in 2024 came from California, with Southern California alone providing 30% of all visitors. But traffic on Interstate 15 at the California-Nevada border dropped 4.3% in June, suggesting the Golden State’s residents are staying home.
The decline has been consistent throughout 2025, with visitor numbers dropping every single month compared to the previous year—a pattern not seen since the pandemic recovery began.
Layoffs and reduced hours
The tourism slump has translated into concrete job losses. MGM Grand conducted layoffs in November and again in spring. Fontainebleau laid off dozens of workers in May, calling it “customary practice.” Resorts World has also reported layoffs.
Valdez had her hours cut from five days to four earlier this year. She says employees have been offered more vacation time and had schedules rearranged—changes that contribute to mounting job anxiety.
“Twenty-five percent of our workers in these big resort hotels are part-time,” Pappageorge explained. “The question is: ‘Is this Trump slump here to stay? Or is it something that is going to pass?’ Our members are very concerned.”
Limited alternatives
For longtime Vegas workers, the job market feels particularly constrained. “When I moved here in ’96 there were so many jobs here I could pick and choose,” Lang recalled. “And right now, people in our service industry are having a hard time finding those jobs. It’s not what it used to be.”
The concern extends beyond individual workers. As Lang noted: “The whole city is affected by whatever goes down on the Strip.”
Gaming revenue paradox
Paradoxically, while visitor numbers plummet, gaming revenue continues to rise. Nevada casinos collected $1.33 billion in June, up 3.5% from the previous year. Clark County alone brought in $1.16 billion, suggesting remaining visitors are spending more per person even as overall numbers decline.
But Pappageorge cautions that gaming revenue represents just one aspect of the tourism economy. Hotels, restaurants, shows, and retail all depend on visitor volume, not just high-rolling gamblers.
Looking ahead
The tourism decline represents Las Vegas’s first sustained downturn since the pandemic recovery began. After exceeding 2019 visitor levels during the post-COVID boom, the city now faces uncertainty about when—or if—the crowds will return.
For workers like Valdez, who has built her life around Vegas’s tourism economy, the wait feels different this time. Unlike the pandemic’s clear endpoint with vaccines and reopenings, today’s slump has no obvious resolution.
“We’re not sure if and when this is gonna stop,” she repeated, voicing the anxiety felt by thousands of hospitality workers watching their livelihoods erode with each empty table and vacant casino floor.
Image Sources: https://time.com/7309094/las-vegas-tourism-trump-slump/
Category: Business
Subcategory: Tourism & Hospitality
Date: 08/14/2025