Domestic travel for Labor Day weekend up 9% this year

Some popular Labor Day destinations this year include Seattle as well as Anchorage and Juneau, Alaska.

As summer travel season comes to a close, many Americans are planning one last trip for Labor Day weekend. AAA reports that overall domestic travel over Labor Day weekend is up 9% compared with 2023 booking data, while the cost to travel is down 2%.

Seattle is the No. 1 Labor Day weekend destination for 2024, according to AAA, up nearly 30% from last year when it was also a top destination on the list. Other top Labor Day destinations include Orlando, New York, Boston, Las Vegas, Denver, Chicago and San Francisco.

AAA also reports that many Americans plan to explore Alaska by cruise Labor Day weekend. Anchorage and Juneau, Alaska, rank high on AAA’s top 10 list of Labor Day destinations in 2024.

“This is the time of year to go on an Alaska cruise,” says Paula Twidale, senior vice president of AAA Travel. “There are fewer crowds compared to earlier in the summer, and if you’re lucky, you might even catch a glimpse of fall colors. It’s no surprise Alaska cruises are sold out this Labor Day weekend.”

Travelers taking road trips should expect to pay less for gas compared with last year. The national average gas price over Labor Day weekend in 2023 was $3.81. In recent weeks, gas prices have remained steady, hovering around $3.50. Despite the popularity of summer road trips, overall gas demand is down as daily driving habits have changed post-pandemic, preventing pump prices from spiking. Hurricanes hitting the Gulf Coast and affecting regional refineries could cause gas prices to increase as the peak of the season approaches in September.

The U.S. Travel Association also reports that prices throughout the travel sector have fallen this summer, and at a steeper rate than the overall economy. According to the U.S. Travel calculated Travel Price Index (TPI), prices decreased at 1.4% in June compared with May, led by lower hotel, airline and gas prices. In contrast, the overall economy only experienced a 0.1% decrease in prices those two months.

“Now is the time for the travel industry to boost volume,” says U.S. Travel Association President and CEO Geoff Freeman. “We’ve already seen travelers take advantage, with eight of the 10 busiest days in TSA’s history occurring in 2024. It’s essential that the industry is equipped with the right funding, resources and technology — coupled with sustained government focus — to meet an increase in demand.”