The Hawai‘i State Department of Business, Economic Development and Tourism (DBEDT) has released its latest figures indicating that the seasonally adjusted unemployment rate for the state in March stood at 2.9 percent. This marks a slight decline from February's rate of 3.0 percent. Across the state, there were 666,600 employed individuals and 19,900 unemployed, compiling a labor force total of 686,500. Meanwhile, the national unemployment rate rose from 4.1 percent in February to 4.2 percent in March.
The state's unemployment data adheres to the seasonal adjustment methodology set forth by the U.S. Bureau of Labor Statistics (BLS), which also reported a non-adjusted unemployment figure for Hawai‘i at 2.4 percent for March, a decrease from 2.8 percent in the previous month.
A separate measurement, evaluating industry payroll employment through an Establishment Survey, found an increase of 2,500 nonagricultural jobs from February to March. Notable job increases occurred in sectors such as Leisure & Hospitality, with 1,300 jobs added, Other Services with 300, and Construction with 100. However, sectors like Manufacturing, Information, and Professional & Business Services each saw a reduction of around 100 jobs, and losses were observed in Trade, Transportation & Utilities and Financial Activities as well, both shedding 200 jobs.
Leisure & Hospitality saw growth primarily through the Food Services & Drinking Places subsector. Government employment also rose by 1,600 positions, driven largely by seasonal hires at the Department of Education and the University of Hawai‘i. Over the past year, there has been an overall increase of 11,800 nonfarm jobs, representing a growth rate of 1.8 percent.
The DBEDT notes the importance of seasonal adjustments in data, which mitigate fluctuations caused by regular seasonal events and ensure that month-to-month employment changes are not misleading. These adjustments are crucial for consistent economic assessments and comparisons.
Additionally, DBEDT has made benchmark revisions to local area unemployment statistics to incorporate revised inputs and population controls, affecting data from 1990 to 2024.
Coincidentally, the state has also transitioned the responsibility of producing preliminary employment estimates to the BLS, aiming to enhance efficiency and accuracy in data collection and interpretation.
For inquiries, Dr. Eugene Tian from the Hawai‘i State Department remains available for contact as the Chief State Economist.