Unemployment A month past the Sept. 11 terrorist attacks that stunned the country and Hawaii's economy, the record-setting pace of state unemployment claims is finally slowing, though the numbers remain high.
claims in Hawaii
finally slow down
Claims peaked at September's
end with more than 5,330 filedBy Lyn Danninger
ldanninger@starbulletin.comLast week, 3,294 Hawaii residents filed claims for unemployment benefits, 1,120 fewer than the week before.
Residents filed 12,351 claims between Sept. 17 and Oct. 9, the period for which numbers are available.
The claims seem to have peaked at the end of September. More than 5,330 residents filed unemployment claims during the last full week of the month, a 400 percent jump from the year before.
Unemployment filings usually average around 1,400 per week. During Monday and Tuesday this week, 1,266 residents filed claims, indicating that while the pace of layoffs is slowing, it is still unusually high.
"It is slowing down, which leads us to believe that employers are probably not laying off as much as before," said state Department of Labor and Industrial Relations spokesman Tom Jackson.
The majority of layoffs still are primarily in tourism-related jobs, with some retail also being affected, he said.
"It's still looking like it's mostly the tourism industry, and the retail jobs we are seeing are pretty much dedicated to the tourism industry," Jackson said.He also noted that he is beginning to hear, unofficially at least, that some employers are beginning to hire workers back.
But the real economic fallout for those who lost their jobs or had hours cut may soon become painfully apparent as the due date for October's mortgages, rents and credit card payments approaches.
At First Hawaiian Bank, Vice President Gerry Keir said the organization has heard from only a handful of customers so far regarding potential payment problems.
"We haven't seen a lot of specific situations yet, but it's still early," he said.
Keir said the bank is encouraging affected customers to come in if they believe they are likely to experience payment problems.
"If a problem is on the horizon, come see your banker," he said.
Keir said First Hawaiian has not developed any specific policy to handle those laid off.
"It's got to be a case-by-case basis," he said.
Bank of Hawaii spokesman Stafford Kiguchi said requests for help on mortgages fall primarily in two categories: military called to active duty and those recently unemployed.
On the business side, Kiguchi said Bankoh has so far received only a small number of requests for help.
In all cases, Kiguchi said, the bank intends to work individually with those affected.
"It would be similar to what we did in the teachers strike, with loan modifications and deferments," he said.
The Hotel and Travel Industry Federal Credit Union, which has around 5,500 members, has been on the financial front lines since layoffs began.
"We have programs we are providing for those in need, such as extending loans, work-out programs and budget programs," said credit union President Everett Kishimoto.
The credit union also is handing out fliers to all its members to provide information. Staff at the credit union say they have noticed a decrease in withdrawals as people apparently conserve what savings they have.
Clifton Chang, loan manager at the credit union, said he noticed an increase in short-term loan applications of about 10 percent to 15 percent more than usual in recent weeks.
But credit union staff say they also are hearing that some members are beginning to regain a portion of their hours that were cut.
"Hours are picking up at this point, so we've been hearing that as well," Chang said.
At Consumer Credit Counseling Service of Hawaii Inc., office manager Chuck Crawford has noticed an increase in traffic.
"People are starting to get edgy," he said. "We are completely booked for next week."
The service has seen a 9 percent increase in visits after the attacks, compared with the month before.
But like others, Crawford said he believes the hardest part is yet to come.
"People will be past due by November and December and certainly by the first of the year," he said. "Normally, Christmas is our busiest period."
