LIHU‘E — The unemployment rate on Kaua‘i increased for the first time in 2024, when compared with the same month a year earlier, as more than one-half dozen sectors of the economy shed jobs in July.
The jobless rate weighed in at 2.7 percent in July, compared with 2.5 percent in July 2024, according to monthly data released by the Hawai‘i Department of Business, Economic Development & Tourism on Thursday.
The only sectors to add jobs last month were state government and health care and social assistance. Each of those sectors added 100 jobs in the period to bring their total to 3,000 and 2,700 employees, respectively.
Seven sectors shed jobs last month. The biggest drop was recorded in the arts, entertainment and recreation sector, which lopped off 200 jobs to bring its total to 1,100. That marked a decrease of 15.4 percent.
Six other sectors — retail trade, natural resources, mining and construction, manufacturing, financial activities, federal government and accommodation each trimmed payrolls by 100 jobs. That marked decreases of 2.5 percent, 4.5 percent, 16.7 percent, 9.1 percent, 16.7 percent and 2.3 percent, respectively.
The retreat in the labor market came as the labor force contracted to 36,800 in July from 37,300 in July 2023.
Despite the increase in the unemployment rate, the numbers suggest the island economy is at full employment with some industry measurements referring to a jobless rate of 5.0 percent or less as the key threshold, a number the island economy has been below for quite some time.
Neighbor islands
The highest jobless rate recorded on the four major islands was in Maui, whose economy continues to recover from the deadly wildfires on Aug. 8, 2023. One of the wildfires, the Lahaina Fire, claimed the lives of 102 people and destroyed more than 2,000 structures.
The unemployment rate in Maui climbed to 4.1 percent in July from 2.6 percent in July 2023. The jobless rate in O‘ahu inched up to 2.8 percent in July from 2.7 percent in July 2023, while the rate in Hawai‘i County was unchanged at 3.3 percent.
Statewide, the unemployment rate rose to 3.0 percent in July from 2.8 percent in July 2023. Data not seasonally adjusted.
