Las Vegas Faces Sharp Tourism Decline, Visa Fees, Immigration Impact

Las Vegas is experiencing a significant downturn in tourism and hospitality, with visitor numbers dropping by around 6.5 to 6.9 percent in early 2025, largely driven by a decline in international tourists. This has led to sharp decreases in hotel occupancy and revenue per room, with some of the worst declines on record, exacerbated by rising prices on the Strip and the closure of iconic resorts like the Mirage Hotel. The local economy is under strain as a quarter of workers depend on tourism, and upcoming visa fee increases threaten to deter further international visitors, compounding the economic challenges. Additionally, a crackdown on immigration under President Donald Trump's administration is creating fear among immigrant workers, who make up a substantial portion of the hospitality workforce, further destabilizing the labor market. Despite some temporary measures like waiving resort fees, industry leaders remain cautious about a near-term recovery, highlighting structural issues including job market stress and decreased discretionary spending. The combination of economic, regulatory, and social factors paints a challenging picture for Las Vegas's recovery as it contends with both declining demand and workforce uncertainties.