LIHU‘E — An optimistic outlook for the summer tourism season apparently inspired the hotel industry to load up on employees, as it easily paced job growth on Kaua‘i in March.
The accommodation sector increased total employees to 4,300 in March from 3,600 in March 2022, according to monthly data released by the state Department of Business, Economic Development &Tourism. That marked a gain of 19.4 percent in the period.
The hiring surge also helped send the unemployment rate down to 3.0 percent in March from 3.5 percent in March 2022.
“I think the spring break was pretty solid. So, the number of visitors during the month of March was solid,” said Peter Fuleky, an associate professor with The Economic Research Organization of the University of Hawai‘i’s Department of Economics. “That prompted the visitor industry to begin to prepare for summer.”
While the accommodation sector led job growth in March, a number of other sectors also added more workers.
Transportation, warehousing and utilities, retail trade and professional and business services each added 200 jobs in March when compared with March 2023.
Transportation, warehousing and utilities upped its total to 1,800 from 1,600, while retail rosters climbed to 4,000 from 3,800 and professional and business services rose to 2,900 from 2,700.
Five sectors — other service, natural resources, mining and construction, manufacturing, food service and drinking places, and arts, entertainment and recreation — each added 100 jobs in March.
Two sectors — financial activities and federal government — shed jobs in the period, with each down 100 positions.
The decrease in the island’s jobless rate came amid an uptick in the number of people looking for work. The civilian labor force swelled to 37,000 in March from 36,500 in March 2022.
“One thing we have to keep in mind is what happened to the labor force itself … during the pandemic many people decided to retire early or leave the labor market for other reasons,” Fuleky said. “But now the labor market has recovered … now they are coming back … you are approaching the pre-pandemic labor force number.”
The unemployment rate on Kaua‘i stacked up favorably when measured against other parts of the Hawaiian Island chain. Honolulu County posted a jobless rate of 2.9 percent in March, down from 3.0 percent in March 2023.
But Maui County and Hawai‘i County each recorded increases to 3.4 percent and 3.5 percent from 3.3 percent and 3.0 percent, respectively. Statewide, the jobless figure inched up to 3.1 percent in March from 3.0 percent in March 2022.
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Wyatt Haupt Jr., editor, can be reached at 808-245-0457 or whaupt@thegardenisland.com.