MEDIA RELEASE

The Hawaii State Department of Labor and Industrial Relations has announced the seasonally adjusted unemployment rate for May declined to 6.0 percent, from 6.1 percent in April. There were 597,000 employed and 38,150 unemployed in May, for a total seasonally adjusted labor force of 635,100.

Nationally, the seasonally adjusted unemployment rate increased to 9.1 percent in May from 9.0 percent in April.

The unemployment rate figures for the State of Hawaii and the U.S. in this release are seasonally adjusted, in accordance with the U.S. Bureau of Labor Statistics (BLS) methodology. The not seasonally adjusted rate for the State increased to 5.9 percent in May from 5.6 percent in April.

State of Hawaii Seasonally Adjusted Labor Force Data**

Industry Payroll Employment (Establishment Survey)

In another measure of employment, total seasonally adjusted nonagricultural jobs decreased by 2,400 jobs or -0.4 percent to 590,600 jobs from April to May. The lone major sector registering job gains was Construction (+1,700). Employment in Financial Activities remained stable. The industries recording job decreases were Professional and Business Services (-1,400); Trade, Transportation, & Utilities (1,000); Educational and Health Services (-600); Leisure and Hospitality (-600); and Other Services (-200). Government declined over-the-month by 300 jobs.

Over-the-year, the seasonally adjusted job count increased by 3,100 jobs or +0.5 percent.

The industries representing a large portion of job growth in the private sector were Professional and Business Services (+2,400); Educational and Health Services (+2,300); and Leisure and Hospitality (+1,800).

* Construction (+1,700)
For the third straight month, Construction employment expanded over-the-month. Growth in the industry was mostly concentrated in Special Trade Construction, in particular structural steel and precast concrete contractors, drywall and insulation contractors, and painting and wall covering contractors. At 30,100, this industry has reached the 30,000-level for the first time since September 2009.

* Financial Activities (No Change)
Within the major industry of Financial Activities, both Finance and Insurance; and Real Estate & Rental & Leasing employment showed little change in May over April. Since March, industry employment has remained at the 26,000-level.

* Other Services (-200)
This major industry sector composed of a wide range of service sectors decreased slighted over-the-month. Over the past twelve months it has shown small fluctuations around the 26,500 level.

* Education and Health Services (-600)
Job declines in this industry were in the Health Services sector, with jobs in Education actually remaining stable. Within Health Services, the bulk of the over-the-month decrease occurred in ambulatory health care services and hospitals, with much smaller drops in nursing & residential care facilities and social assistance.

* Leisure and Hospitality (-600)
Within this industry, the Accommodation & Food Services sector absorbed the industry contraction of 600 jobs, with Arts, Entertainment, and Recreation, remaining unchanged in May over April. Job declines were slightly more prevalent in Accommodation than Food Services, perhaps as a reflection of the continued lull in international visitor arrivals.

* Trade, Transportation, & Utilities (-1,000)
For the second consecutive month, this major industry experienced an over-the-month decline. Primarily, the job decreases were in Transportation and Retail Trade. More specifically, within Transportation, air transportation and scenic and sightseeing transportation (water) had job losses. Within Retail Trade, clothing and clothing accessory stores had the most significant decrease.

* Professional and Business Services (-1,400)
Following two months of relatively stable employment, this major industry had a noteworthy shift in employment. Job losses were most prominent in tax preparation services, which had a steeper than usual seasonal drop-off, and in temporary help services. Still, due to strong expansion in late 2010-early 2011, over-the-year, jobs in this industry are up 3.4 percent.

* Government (-300)
Government employment dipped in May over April. Minimal job gains in Federal and Local Government were more than offset by job losses in State Government, largely in the Department of Education.