Hawaii’s unemployment rate, the lowest in the nation, held firm in March at 2.1 percent for the sixth month in a row as employers added 200 jobs.
The seasonally adjusted rate continued to match the all-time low for the state, and the number of unemployed in the labor force equaled the lowest level since there were 14,050 unemployed in December 1989, according to data released Thursday by the state Department of Labor and Industrial Relations. The all-time low was 12,550 in June 1989.
Among the major industries, leisure and hospitality recorded the largest increase in jobs at 600 while the trade, transportation and utilities category was next at 500. The construction sector, which has been a bellwether in the improving economy, lost 700 jobs, dropping to 35,900. The peak level in construction jobs was 39,600 in December 2007. Since the end of the 18-month recession in June 2009, the highest level was 38,400 in July 2016.
Hawaii’s unemployment rate is expected to rise later this year, according to Eugene Tian, chief economist for the state Department of Business, Economic Development and Tourism.
“I think the unemployment rate eventually will increase,” he said. “The economy has been stable for half a year at 2.1 percent, but we don’t see the trend continuing to decline. This is coming to the bottom. It is a stable period, indicating that the next period will be a small increase to 2.3 percent to maybe as large as 2.5 percent.”
Tian said the increase of 200 jobs — to 661,300 — also shows that growth has leveled off. He said the drop in construction jobs is reflected in a slowdown in the number of building permits issued.
“Building permits issued in the first half of 2017 was good and in the second half decreased,” he said.
Nationally, the U.S. Department of Labor’s previously announced March jobless rate held steady at 4.1 percent for the sixth straight month.
Hawaii’s labor force, which includes people who are employed, those who are unemployed but actively seeking work, and those who are self-employed, rose last month to 684,550 from 683,550 in February. The number of people employed increased to 670,500 from 669,400 the previous month.
The unemployment rate rose in one county, remained the same in one and fell in two others. State and national labor-force data are adjusted for seasonal factors, but the county jobs data are not seasonally adjusted and thus do not take into account variations such as the winter holiday and summer vacation seasons.
Hawaii County’s rate increased to 2.3 percent from 2.2 percent. Honolulu County’s remained at 1.9 percent, and Kauai County’s held at 1.8 percent. Maui County’s fell to 1.9 percent from
2.0 percent. Within Maui County, Maui island’s rate dropped to 1.9 percent from 2.0 percent, Molokai’s rate declined to 3.8 percent from 4.0 percent and Lanai’s rate rose to 2.7 percent from
2.2 percent.