by Doug Desjardins
Continuing a trend that started with Memorial Day, more people will travel over the upcoming Labor Day weekend than last year, though most will be staying closer to home.
According to the American Automobile Association (AAA), Labor-Day travel will jump 10 percent this year, with 34.4 million people traveling 50 miles or more from home over the holiday. That compares to a 13-percent drop in travel over the 2009 Labor Day weekend. With the economy still shaky, AAA wasn’t sure whether the steady increase in leisure travel that started on Memorial Day would continue. 
“But this holiday, relative to last year, travel is (going to be) up,” said AAA Services director Glen MacDonell.
The AAA expects 91 percent of people to travel by car over the weekend, with 5 percent traveling by air and the remainder by bus or train. Gas prices are about the same as they were last year, with the national average ranging from $2.65 to $2.75.
Leisure air travelers are expected to total 1.6 million for the weekend, a 4.5-percent increase from 2009 despite an increase in airfare prices. AAA expects the average price for a flight to be 9 percent higher over the Labor Day weekend than last year. The increase comes in spite of a report from the Air Transportation Association that estimates the major domestic airlines saw a 1% decrease in travelers in July.
Prices in other areas of the hospitality industry are also on the rise. Car rental rates, always closely tied with air travel, are expected to increase almost as much, with the average rate jumping 7 percent for Labor Day weekend. Hotel rates are expected to be close behind, rising an average of 6 percent over the weekend.
Though prices are on the rise, there are still plenty of deals around for bargain hunters as the hospitality industry tries to cash in on the last weekend of the summer.
Expedia is advertising 40 percent off on select hotels for stays booked through Sept. 6 and kicking in a $50 pre-paid Mastercard for three-night stays.
As usual, Las Vegas will be the top destination for holiday travelers over the Labor Day weekend, according to Orbitz.com, where the average room rate will be $106 per night. Orbitz.com senior editor Jeanenne Tornatore said travelers looking for bargains should look to other cities.
“Those wanting to bid a final farewell to summer, but have limited funds, should set their sights on Denver, Orlando and Los Angeles, which are all offering daily hotel rates under $100 per night,” said Tornatore.
According to Orbitz.com, the top 10 destinations for Labor Day weekend are Las Vegas, New York, Chicago, Denver, Seattle, San Francisco, Atlanta, Boston, Orlando and Los Angeles. The top international destination is Cancun, followed by London and Paris.
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