Hawaii County saw its lowest unemployment rate since 2008 in July.
Hawaii County saw its lowest unemployment rate since 2008 in July.
During July, 4.2 percent of the island’s 88,800 people in the labor force was unemployed, down from 5.5 percent in June, according to the state Department of Labor and Industrial Relations. The last time Hawaii County saw as few people unemployed was early 2008, shortly after the start of the Great Recession.
“This 4.2 percent is really a huge improvement. If we look at the previous time it was 4.2 percent it was back in February 2008,” said Eugene Tian, Research and Economic Analysis division administrator for the Department of Business, Economic Development and Tourism. “In terms of the employment rate, we’ve recovered to pre-recession levels. This is really a good indicator.”
Tian said that the job count for the island is down 100 positions from June and 400 since the start of the year. Despite this, unemployment is down, which Tian said leads him to believe the reduction in unemployment can be attributed to increases in self-employment. July is also a month that historically has seen labor market conditions improve, he added.
“The number of employed is at its highest ever, and at the same time, we see it drop, so, that decrease (in the unemployment rate) has to be the self-employed,” said Tian. “More people doing their own business rather than being on payroll.”
Unemployment previously reached a high in Hawaii County in September 2009 when 10.9 percent of the island’s 83,350 people in the workforce were without a job.
July also marked the lowest rate of unemployment statewide since April 2008 when 3.5 percent of the labor force was unemployed, according to the state. Statewide, the seasonally adjusted unemployment rate was 3.7 percent in July, down from 4 percent in June and 4.1 percent in May, according to the department. A year ago, 4.3 percent of the statewide labor force was unemployed.
Honolulu City and County’s unemployment rate in July was 3 percent, down from 4.1 percent the month prior; Maui County’s rate was 3.3 percent, down from 4.4 percent in June; and Kauai County’s rate was 3.6 percent, down from 4.4 percent in June, according to the department.
Nationwide, the seasonally adjusted unemployment rate was 5.3 percent, unchanged from the month prior. The rate is down from last June, when 6.2 percent of the nation’s labor force was unemployed. The number of unemployed people nationwide was 8.3 million in July, according to the federal Bureau of Labor Statistics.
Across the state of Hawaii, 21,900 people were unemployed in July, down from 29,800 people in June. A year ago, 30,100 people were without employment statewide, according to the department.
Hawaii Island’s labor force in July comprised 88,800 of whom 85,100 held jobs, according to preliminary statistics kept by the state. In June, 84,150 of the 89,100 people in the civilian labor force held jobs.
Statewide, job expansion was noted in the construction sector, where 400 jobs were added in July, and other services, which added 300 jobs to the ranks.
Cuts to employment were recorded in a variety of sectors, the state said. In the professional and business services sector 900 jobs were cut while an additional 800 positions were lost in the government sector. Job losses were also recorded in manufacturing, educational and health services, trade and transportation, financial activities, and leisure and hospitality.