Hickory Global Partners President and Managing Partner Chris Dane appeared on Yahoo Finance on Oct. 9, warning that business travelers should expect increased flight delays and cancellations as essential funding runs out and pre-existing air traffic controller shortages worsen due to the prolonged government shutdown.
However, Dane expressed optimism for the industry's recovery.
"Obviously, if things get resolved, you know, all bets are off and I think we're in for a really good fourth quarter for the industry,” Dane said.
Controller Shortage Creates Perfect Storm
Speaking with host Julie Hyman, Dane emphasized that current conditions are more severe than previous shutdowns.
"If you look at this between where we're at today versus the shutdown in '18, we already are going into this shutdown with a shortage of controllers that is much more exacerbated than it was in '18,” he said.
Essential Air Service Funding Creates First Tipping Point
Dane identified several immediate threats to service, including when funding for Essential Air Service (EAS), which supports air travel to and from rural or comparatively smaller areas, runs dry.
“[T]he carriers will stop flying to what the government deems as offering essential air service because they're not getting paid for it,” Dane said. “The most affected state for that will be Alaska, but many other small cities will feel the impacts of that."
Cascading Delays Could Trigger Cancellations
Looking ahead, Dane outlined how the shutdown could lead to cascading issues for travelers.
"If it were to go to the end of the month,” he said, “I could see where delays were so bad, you could find airlines running out of crew time and doing many more cancellations as a result of the delays that were caused during the earlier part of the shutdown."
Premium Travel Continues Strong Performance
Despite shutdown concerns, Dane noted resilience in the corporate travel segment, particularly following Delta's strong Q3 earnings report.
"Delta's got the model right. They've got the product, they've got their process point leading in on the premium traffic,” he noted. “That's where you win or lose in travel—anything to do with premium is winning."
One thing to link for, however, is whether the booking window shortens across the travel ecosystem. “A big part of a fourth quarter will certainly be how long is the government shutdown,” Dane said. “And the longer that goes on, the worse it's going to become for the traveler."
Navigating Uncertainty in Corporate Travel
As president and managing partner of Hickory Global Partners, Dane brings decades of airline industry expertise to an organization that serves corporate travel agencies, travel management companies, and corporate travel departments navigating exactly these kinds of market disruptions.
Hickory's global alliance provides members with negotiated rates across hotels, airlines, and ground transportation, along with 24/7 support through Hickory Solutions365—critical resources when government shutdowns, controller shortages, and industry volatility create unpredictable travel conditions.
For corporate travel managers dealing with the cascading effects Dane outlined, having a strategic partner with deep industry connections and real-time market intelligence becomes essential to maintaining traveler satisfaction while controlling costs during periods of significant disruption.
Become a Hickory member today and discover how a consortium partnership elevates your capabilities, expands your market reach, and positions your agency for sustained growth in 2025 and beyond. Your next corporate client conversation should showcase the comprehensive capabilities that only consortium membership makes possible.
