Hawaii Unemployment Rose as Labor Force Grew in August

While more residents joined the labor market, the statewide unemployment rate held steady at 2.7%.

Updated on Sept. 22, 2026 in Employment

Bold flat-color editorial illustration in navy and cream representing the Hawaiian labor market with a stark geometric coastline. — Hawaii's unemployment rate held at 2.7% in August, as an expanding labor force of 692,750 residents offset an increase in the number of unemployed individuals. AI Illustration. Upload story photo >

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Hawaii saw the number of unemployed individuals rise to 18,800 in August, up from 18,350 in July. Despite this increase, the state's unemployment rate remained at 2.7% as the overall labor force expanded to 692,750 people.

Why it matters

The steady jobless rate, which remains among the lowest in the nation, indicates that Hawaii's labor market is absorbing new participants rather than stalling. This expansion in the workforce reflects active recruitment and job-seeking efforts across the islands.

Hawaii's unemployment count reached 18,800 in August, representing a 2.7% jobless rate that sits well below the 4.1% national benchmark. While the state added 1,450 employed people, the labor force grew by 1,900 individuals.

The players

Hawaii Labor Force

The collective body of employed and unemployed residents seeking work in the state.

The details

Employment data is derived from two distinct sources: a telephone-based household survey and a mail-based survey of employers. The data shows localized shifts in hiring, with professional and business services adding 700 jobs while the leisure and hospitality sector saw a loss of 700 positions. These offsetting changes kept total nonfarm payrolls relatively flat at 643,000.

August 2026: Unemployment in Hawaii rose to 18,800.
July 2026: The number of unemployed residents was 18,350.

Money Landscape

Hawaii continues to maintain one of the lowest unemployment rates in the United States, currently ranking fourth in the country. This stability follows a long-term trend of tight labor markets, though current figures remain above the record low of 2.0% achieved in 2017.

With the unemployment rate holding steady at 2.7%, workers in Hawaii continue to operate in a competitive labor market. Residents should review their employment contracts or industry-specific job growth data when planning for potential salary adjustments or career transitions.

The takeaway

The growth in both the employed population and the number of job seekers suggests a robust, active labor market in Hawaii. Households should monitor monthly payroll updates in key local sectors, such as hospitality or professional services, to gauge the health of their specific industry.