LIHU‘E — A sizzling job market cooled at the start of summer, as a number of tourism-related sectors stood pat while other sectors of the island economy trimmed payrolls in June.
But the job cuts weren’t strong enough to keep the unemployment rate from falling to its lowest level for the month in five years, when it measured 2.8 percent.
The jobless rate weighed in at 2.9 percent in June, down from 3.2 percent in June 2023, according to monthly data released by the Hawai‘i Department of Business, Economic Development &Tourism on Thursday.
The only sector to add jobs last month was health care and social assistance, which hired 100 people to bring its total to 2,700. That marked an increase of 3.8 percent.
Five sectors — natural resources, mining and construction, manufacturing, financial activities, federal government and arts, entertainment and recreation — each erased 100 jobs last month.
That marked decreases of 4.5 percent, 16.7 percent, 9.1 percent, 16.7 percent and 8.3 percent, respectively.
All told, civilian employment rose to 35,800 in June from 35,750 in June 2023 for an increase of 0.139 percent.
At the same time, the civilian labor force contracted 0.270 percent to 36,850 from 36,950.
The numbers suggest the island economy is at full employment with some industry measurements referring to a jobless rate of 5.0 percent as the key threshold, a number the island has been below for quite some time.
The highest unemployment rate recorded among the four major islands was in Maui, whose economy continues to recover from the deadly Lahaina Fire on Aug. 8, 2023.
The wildfire claimed the lives of 102 people and destroyed more than 2,000 structures.
The jobless rate on Maui climbed to 4.5 percent in June from 3.1 percent in June 2023. The unemployment rate on O‘ahu dropped to 3.0 percent in June from 3.3 percent in June 2023, while the jobless rate on Hawai‘i Island fell to 3.4 percent from 3.8 percent.
Statewide, the unemployment rate slipped to 3.3 percent in June from 3.4 percent in June 2023. Data not seasonally adjusted.
