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Labor Day travel gets pricier as airfare, hotel rates jump
Fox Business • • business
Key Points:
- Labor Day travel costs are rising, with domestic airfare up 2% year-over-year, averaging $750 for round-trip tickets, and fares to popular destinations nearly 20% higher, according to AAA data.
- Hotel bookings have increased as well, with domestic prices up 9% and international hotel bookings up 12% compared to last Labor Day weekend.
- Higher fuel prices linked to the war in Iran and the use of AI by travel companies to optimize pricing are contributing to increased travel costs.
- International airfare and cruises from U.S. ports are exceptions, with international airfare down 4% and cruises 4% cheaper than last year.
- Travel expert Pauline Frommer advises saving money by traveling during off-peak times, using VPNs to avoid price hikes, and choosing destinations with a lower cost of living.
