Posted on: Wednesday, November 21, 2001

Hawai'i unemployment rate rises to 5.2 percent

Advertiser Staff

Hawai'i's unemployment rate surged to its highest level in two years last month, mostly because of cuts at retailers and hotels affected by declines in travel and tourism since Sept. 11.

The state jobless rate hit 5.2 percent in October, up 0.7 percentage point from September and up more than 1 percent from the same month a year ago when it was 4 percent, according to the state Department of Labor and Industrial Relations.

Nearly 30,000 Hawai'i residents have applied for unemployment benefits since Sept. 11, about three times the number that applied in the same period a year ago.

Jobs at hotels dropped by 2,100 for the month, and retailers lost 1,600 jobs, according to the monthly state tally. Specialty retailers lost 1,200 jobs; restaurants and bars lost 700 jobs; and transportation firms lost 1,700 jobs.

Jobs in the construction industry were generally stable; manufacturing lost 400 jobs. Private-sector job losses were somewhat offset by gains in government jobs, with 3,500 more jobs created by hiring at the Department of Education and the University of Hawai'i. The latest unemployment rate reflected 31,700 people unemployed statewide, and 576,300 employed.

By island, Lana'i was the hardest hit with the jobless rate rising to 10.8 percent, up from 6 percent in September and 4.6 percent in October 2000. Maui County overall rose to 6.3 percent; the Big Island rose to 6.8 percent; Kaua'i rose to 7 percent. O'ahu's unemployment rate is 4.6 percent.