At the end of every summer season, I get a much better sense of what economic forces are at play in the lives of middle class mid-westerners. There have been years in which people were afraid that their office desk would be occupied by a new occupant when they returned from more than a few days vacation - taking a week vacation was too long. There have been summers, pre-2008, when everyone wanted to come and everyone felt economically solid.
Last summer, people were feeling a sense of job/economic confidence, for the first time since the recession. Interpreted through cabin rentals and conversation. The winter season was about as expected.
CNN and other noteworthy newsies were spreading the word this spring that Jan/Feb/March spending was down. My gut feeling was that the news was overly pessimistic - that all was well and good and coming back, albeit slowly, in America.
Mid summer reflections are that after a few years of steps forward, America is taking a step back in economic strength again. One customer summed it up for me. "When I took my job two years ago, I didn't realize that I was agreeing to no future wage increase. My performance reviews have been perfect. Nonetheless, no pay increase nor bonus." In the neighborhood, a friend's husband was laid off December 2011 - he has worked in the three-season contractual construction positions since; last year he spent most of the year in central Wisconsin, traveling home on the weekends when he could. As June rolled around the union jobs were still unavailable. He took a non-union job in the local area for 1/2 the wage and no benefits. Another friend's job is being phased out by technology this fall.
Potential guests are very price conscious. The demand for weekly cabin rental (Saturday-Saturday as is traditional in historic lodges), is low. Weekend, mid-week, two-night, one-night requests are up. People are concerned about spending money. Two recent guests balked at paying sales tax. (Excuse me? The governor gets his due, just like in a hotel. I wish there were exceptions).
I will keep my finger on this pulse in weeks and months to come. I would be interested in hearing your stories about your level of economic confidence - positive or negative. Be part of the mosaic of information gathered from individuals so that we can gain a better understanding of what the public is experiencing.
Marilyn
