The following is a transcript of an interview with Marriott Worldwide CEO Anthony Capuano that aired Sunday, March 28, 2021, on “Face the Nation.”
MARGARET BRENNNAN: We go now to Tony Capuano, CEO of the world’s most significant resort business, Marriott Intercontinental. He joins us from Bethesda, Maryland. Excellent morning.
MARRIOTT International CEO ANTHONY CAPUANO: Fantastic early morning.
MARGARET BRENNNAN: We just read Dr. Fauci say that journey stays substantial hazard, and but we see quantities from TSA reporting individuals are having on planes in report numbers, in conditions of the pandemic. Are you observing a comparable surge in spring bookings?
CAPUANO: We are seeing very sizeable acceleration of demand from customers. The fact is individuals are touring, which is why we simply cannot let our guard down. We have obtained to carry on to adhere to the CDC protocols and continue to keep our cleaning and running protocols in spot.
MARGARET BRENNAN: So vaccination, you have reported, is likely to be vital to business enterprise, to the financial system reopening it. You have actually opened a software to consider to incentivize your personnel to get that vaccine by featuring them 4 hours of shell out. Why did you have to have to give that incentive? And is it functioning?
CAPUANO: We did not want to. We selected to. Our tradition is extremely substantially an employee-very first society, and we wanted to make absolutely sure they had obtain to instruction about the vaccinations and the versatility to consider time off operate if they selected to get vaccinated.
MARGARET BRENNAN: So that 4 several hours of pay is to make it possible for them to take the time off get the job done to get the shot in the arm.
CAPUANO: Which is right.
MARGARET BRENNAN: So past March, your predecessor said the financial affect of the pandemic was on par with 9/11, the Wonderful Recession and the economical crisis all over that time. Marriott reduce countless numbers of careers. You missing about $276,000,000. When do you count on to get again to that pre pandemic degree of both positions and company?
CAPUANO: It actually is dependent on need recovery. And demand recovery will be driven by purchaser self confidence. The great information is we have such excellent visibility into serious-time facts. In specified marketplaces the place the vaccine- the virus containment appears to be continuing nicely and exactly where you are looking at wide distribution of vaccine, we are viewing need recover and which is letting us to provide lots of of our workforce back.
MARGARET BRENNAN: So demand is up, Arizona, Texas and Florida I see. But it is nevertheless small in some of the significant towns. Is that a pattern you think is going to continue to be with us for some time?
CAPUANO: We’ll continue on to see development in need in push-to places and I think leisure places. A single of the truly exciting phenomenon we have noticed more than the last 12 months is a mixing of excursion uses. Men and women have acquired that they can, in fact, perform from just about any place. And as a end result, we’re looking at our visitors merge organization vacation with leisure vacation.
MARGARET BRENNAN: Fuel rates are not likely to impact those travel-to location bookings?
CAPUANO: Unquestionably they’ll have some evaluate of effect, but we have seriously not observed it however. There is enormous pent up demand from customers and since of fears about protection, we continue to see heaps of attractiveness of push-to locations.
MARGARET BRENNAN: You know, when we glance at the jobless price in the nation your sector is so frequently turned- pointed to as one particular of the biggest spots of losses, specially for women. I’m thinking of all the adaptations that you have experienced to make in your inns for safety motives and protocols with, you know, not examining in in individual, but doing it on your phone or carrying out it digitally, have not you managed your way to just needing to employ much less people today? I necessarily mean, are these careers actually coming again?
CAPUANO: In markets the place desire is recovering, we’re absolutely observing all those employment appear back again and in numerous of the markets you explained have been actively hiring. I think what those technological improvements enable us to do is actually have interaction our workers a lot more in interacting with the attendees and meeting their desires.
MARGARET BRENNAN: So desk clerk is not a task which is heading to vanish?
CAPUANO: Definitely not.
MARGARET BRENNAN: In New York Point out, they are variety of experimenting with some thing I’m interested in having your see on, which is this strategy of having some type of vaccine passport, so to speak, some sort of electronic stamp to clearly show that you have been vaccinated. Is this a little something that you feel organization-smart you would stimulate other states to adopt? I signify, would it help give you some reassurance?
CAPUANO: Time will explain to what the correct system is. What we know with certainty, however, is a global, coordinated, reliable wellness credential process will be crucial to providing individuals comfort about traveling to and to providing jurisdictions comfort in opening their borders.
MARGARET BRENNAN: But who is heading to operate that since the states are administering these vaccine packages? You know, the particulars of how you basically get this up and working are kind of a major stumbling issue.
CAPUANO: It’s the right concern to talk to. I- I be concerned a bit that the tactic to-date is a bit fragmented. And again, we require a detailed and global alternative for it to be helpful.
MARGARET BRENNAN: Have you talked to the White Dwelling about that?
CAPUANO: We’re in energetic discussions with the administration with our market colleagues to consider and establish alternatives to advise borders as they think about opening.
MARGARET BRENNAN: You know, two dozen or so marketplace groups wrote a letter to the White House pushing for global vacation to be reopened by this summer season, indicating that’s a definitely vital time frame for them. Do you have any indicator that any of the vacation limits will be lifted, that worldwide travel will return?
CAPUANO: It really may differ by jurisdiction. We know there’s enormous pent-up desire for international travel and we know these destinations, like quite a few European metropolitan areas, are having difficulties mightily simply because they depend so heavily on inbound worldwide vacation. The marketplaces that have recovered most immediately are those that have depths of demand from customers domestically. So we have witnessed that in travel-to locations in the US and we’ve noticed it across China.
MARGARET BRENNAN: But no guarantee from the White Property? We’re lifting the travel restrictions on nations by the summer months. Absolutely nothing yet?
CAPUANO: Not nonetheless.
MARGARET BRENNAN: All ideal. Thank you very considerably, Tony Capuano, for your time and your viewpoint. We’ll be suitable again.