• USA Today, Friday, February 27, 2009 10:45 AM

Companies have long rewarded top performers with working vacations and other trips to recognize their hard work and thank spouses who put up with their long hours. But incentive trips -- and, increasingly, even once-routine meetings and conferences -- are in trouble thanks to the downward-spiraling economy and public backlash against what is being perceived as lavish spending.

Bailout recipients AIG, Wells Fargo, Chrysler and General Motors have scrapped most of their 2009 incentive trips, and the behavior is increasingly influencing healthy companies. They're reacting to media coverage of extravagant incentive trips and other gatherings, and outrage expressed by members of Congress, Barbara De Lollis reports.

The U.S. Travel Association has formed an unusual coalition with seven other associations to "reframe the debate," says Geoff Freeman of the USTA. "The fight is not with meetings, events and travel. The problem is with irresponsibility. The grandstanding has scared companies of all stripes and colors."

Among those affected by the downturn are hotels, small businesses that rely on corporate gatherings and the workers themselves. Says author and professional speaker Scott McKain: "There are thousands of disgruntled couples because they were planning their vacations around these trips."

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