It's estimated over 38,000 direct hotel jobs have been lost in the Michigan hospitality industry and about 87,000 jobs lost have been lost indirectly as the result of COVID-19.
Central Michigan University instructor Nick Hussein said the industry is projecting occupancy to drop to 20 percent or less.
Occupancy is based on how many rooms sell each night. Hussein said anything below 35 percent is dangerous for a hotel.
"Between lost jobs, loss of revenue, researchers out there are estimating (a loss of) a little over $3 billion dollars a week," Hussein said.
He said the pandemic has impacted the industry greater than the Great Depression or September 11.
Hussein said businesses will open as soon as the state restrictions are lifted. He said to prepare, sanitizing procedures at lodging institutes are going to increase.
"Many (hotels) are going to redo their standard operating procedures when it comes down to cleanliness," Hussein said. "We're going to see standards for cleaning change for the better, but with that, the cost of doing business is going to increase because the labor dollars are going to increase."
Hussein said that will impact the lodging rate overall. He said to come back from the closures, local partnerships will become stronger to help bring people and dollars into the industry.
"When a city isn’t doing well, it doesn’t always just affect lodging, it's going to affect restaurants, retailers, gasoline and so on," Hussein said. "There’s the trickle effect that people aren’t always aware of."
Hussein said people are facing financial hardship right now, but people are also waiting to get out of their homes and travel.
