LIHUE — A pullback in a number of employment sectors sent the jobless rate up more than one-half-percentage point in the final month of summer on the island of Kauai.
The unemployment rate jumped to 2.9 percent in September from 2.3 percent in September 2023, according to monthly data released by the Hawai‘i Department of Business, Economic Development & Tourism on Monday, Oct. 21.
The only sectors to add jobs last month were food service and drinking places, other service and local government.
Food service and drinking places led the way with the addition of 200 jobs to bring its total roster to 4,400. That marked an increase of 4.8 percent in the period.
Other service and local government each added 100 jobs for gains of 9.1 percent and 7.7 percent, respectively.
Five sectors — natural resources, mining and construction, arts, entertainment and recreation, federal government, financial activities and retail trade — each shed jobs in the period.
Natural resources, mining and construction lopped off 300 jobs to bring its total count down 13.6 percent to 1,900 in September. Arts, entertainment and recreation cut 200 positions for a decrease of 18.2 percent.
Three sectors — retail trade, financial activities and federal government — each dropped 100 jobs for retreats of 2.6 percent, 9.1 percent and 16.7 percent, respectively.
The leap in the unemployment rate came as the labor force pulled back 3.11 percent to 35,750 in September from 36,900 in September 2023. At the same time, the number of employed civilians shrank 3.74 percent to 34,700 from 36,050.
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 unemployment rate recorded on the four major islands was 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 jobless rate on Maui plunged to 4.0 percent in September from 8.5 percent in September 2023. The unemployment rate on Oahu rose to 3.1 percent in September from 2.5 percent in September 2023, while the rate on Hawaii County climbed to 3.5 percent in September from 2.7 percent in September 2023.
Statewide, the jobless rate eased to 3.2 percent in September from 3.3 percent in September 2023. Data not seasonally adjusted.