Hawaii’s Unemployment Rate at 13.9% in JunePosted on Jul 16, 2020 in News
DEPARTMENT OF LABOR AND INDUSTRIAL RELATIONS
DAVID Y. IGE
SCOTT T. MURAKAMI
FOR IMMEDIATE RELEASE
July 16, 2020
HAWAI‘I’S UNEMPLOYMENT RATE AT 13.9 PERCENT IN JUNE
Jobs declined by 94,700 over-the-year
HONOLULU — The Hawai‘i State Department of Labor & Industrial Relations (DLIR) today announced that the seasonally adjusted unemployment rate for June was 13.9 percent compared to the revised rate of 23.5 percent in May. Statewide, 527,600 were employed and 85,200 unemployed in June for a total seasonally adjusted labor force of 612,800. Nationally, the seasonally adjusted unemployment rate was 11.1 percent in June, down from 13.3 percent in May.
The DLIR would like to note that the COVID-19 Pandemic is impacting the data derived from the Current Population Survey (CPS), the survey used to produce the unemployment rate, also known as the household survey. In the household survey, individuals are classified as employed, unemployed, or not in the labor force based on questions about their activities during the survey reference week (June 7th through June 13th).
COVID-19-related issues are affecting the counts and the official level of unemployment published for the State of Hawai‘i by the Bureau of Labor Statistics (BLS). The major discrepancy, with the exception of those unemployed on temporary layoff, is that individuals without a job who are not actively seeking work, particularly during this time of government-ordered business closures and social distancing requirements, are classified as not in the labor force in the CPS.
The CPS misclassification issue of workers who were recorded as “employed but not at work” instead of “unemployed on temporary layoff” is a contributing factor and the low response rate for the CPS during the pandemic is possibly another factor. More information on CPS can be found in the Technical Notes and BLS’s web site provides more information about the impact of COVID-19 on the household survey data (click on BLS COVID-19 Employment Situation FAQs under Related links on the HIWI Labor Force and Unemployment webpage).