The US Census showed a large interstate migration from July 2021 until July 2022. While some states saw significant gains, such as Florida with 1.9%, Hawaii was at the opposite end of that spectrum. Hawaii lost .5% of its population during the year, although some states, like New York, lost even more. People moved to lower-cost places, which spells big trouble for Hawaii tourism that relies on these salaried and hourly workers.
Why did Hawaii lose its population last year?
In a word, it’s simple, the cost of living is too high. Hawaii has some of the highest costs of living anywhere. We see it living here; you experience it traveling here. The high cost of housing, in particular, as it has risen tremendously, helped create a severe travel labor shortage. It has become so serious in the way it is impacting travel businesses.
Some local businesses have taken to housing their employees and become unintentional landlords. If not, employees have no place they can afford and would otherwise leave Hawaii. Or their business would fold.
Hawaii travel has long used both migrant labor and those who attempt to move to Hawaii. That’s long provided a beneficial supplement to Hawaii’s workforce, especially for jobs in the tourism industry.
The trend towards unaffordability for Hawaii workers was already looming.
Even before Covid, we could see this coming. It hasn’t been unusual for a travel industry worker in Hawaii to work up to three different jobs and then be in shared housing to afford a place to stay. This has been an evolving problem for decades. Editor Rob recalls visiting a friend who was paying more than $2,000 per month to live in someone’s garage.
The new governor and legislators repeatedly say that more affordable housing for residents is a priority even as prices continue to rise. Increasing supply is a key factor, but that won’t come easily. And as new housing units are needed, the cost of building housing, including materials, is extraordinary.
Recently Maui’s Na Hale O Maui housing nonprofit also said that Hawaii has “the most regulations and hoops that you have to jump through to provide housing.” Currently, the building of affordable housing is extremely slow. Construction rates are less than 10% of what they were 50 years ago when housing was far more accessible.
Rents from $2,000 per month if you can only find them.
Even then, it is extremely hard to find accommodation. Supply is virtually nonexistent, while there is incredible demand, creating a condition where hospitality workers can’t afford to live here.
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I Certainly don’t advocate what I have seen and heard. Renting or Leasing an apartment, 3 bedrooms, and 14 adults plus some children living in it. Others that are doing this to save money. Hopefully Hawaii is keeping this in check, New York California and other states don’t. The strain on the Budget is consuming every bit of money that comes in, earmarked or not. Hawaii is in terrible debt and getting deeper. Something will happen if not corrected. Housing needs will not be met. Bond issues won’t have the desired effect.
We were willing to convert our garage into a living space for my son n grandson to live in but constructing it from Hawaii greedy contractors went from $5000 to construct to now over $12 000 while still waiting on city to approve our plans for construction after almost 2Years!?! That to us is bs for locals not to be fairly dealt with to make affordable living area! Give us a reliable local fully licensed contractor who can do our remodel without having to get a loan and can build from architecte to finish n we will do it!??
Visiting Hawai’i is a privilege and a joy. The customer service workers are fabulous and deserve affordable housing. Other tourism destinations also face this conundrum and there has to be an answer – Maybe places like Santa Fe, Jackson Hole and other tourism destinations need to come together with ideas that don’t involve blame so much as collaboration.
We have been prostituting our land to outside investors who don’t even live here, while allowing the market to set prices that locals cannot compete with outside money. Sure the Govt likes all those tax dollars while there is no provision for locals to even be a first time buyer competing with investors of multiple properties buying and selling food producing potential land who care less aboyt the sustainability of local economy. This is short term thinking chasing money without long term community building.
States across the USA are instill laws restricting who can purchase land/property based off of their originating country. Maryland just instituted a law that says that Chinese citizens cannot purchase property in Maryland beginning in 2024. It is not unheard of for this to happen and Hawaii is well within their rights to do this as well.
Hmmmm… I’ve heard it said that “there is no right to have a vacation in Hawaii” If it’s to expensive, well that’s just life.
Does that apply to those trying to Live in Hawaii?
Just curious.
Workers are needed in Hawaii, thus helping them afford to live there supports the system. Without the workers, you can’t support an economy. Specifically, without workers in the service industry, you don’t have tourism, and right now that’s what’s propping up Hawaii’s economy. Thus the discussion here since it’s a catch 22. If the workers can’t afford to live there and leave, then you don’t have people to work in the restaurants, hotels, etc. that tourists need/want.
If it’s not fun, don’t do it.
Whiners complainers people who want something done…those are the ones
Who kill aloha
My comment back to the “Get rid of all the tourists” is what is Hawaii going to produce to replace it? Back pre-Cook there is decent evidence that the population, which was entirely self sustaining, was in a century-long decline from peak numbers. That should give an idea of hw many people the Islands can support with an entirely self-sustaining no imports/exports economy. There are a heck of a lot more people there now; just how are they going to live?
I fully understand that there are, in many places, too many tourists and the numbers and impact need controlling. But that comes at the cost of imported money.
Perplexed as why you think that slowly phasing out the tourist economy would plunge Hawaii back into a pre-contact economy. Nobody here is proposing to completely isolate the islands; at least I’m not. What I’m saying is phase tourism out as other economies are developed. Agriculture and Technology, for starters. It should be possible, if there is the political willpower.
Hella funny brah
Hawaii phased out ag now you want to phase it back in. Gotta choose. Serve or dig
Da cane and pineapple not only tings dat grow, brah.
Technology yes. Cow as left the barn on farming. Sugar cane and pineapple are grown somewhere else in a 3rd world countries without high wages. Same as here on the mainland. In Oregon tech firms want cheap land low taxes and abundant fresh water and electricity not Hawaii strong suit. Tourism is. I feel sorry for the locals because that means they are priced out. Answer: education for young people in computers that pays well and has possibilities of remote work.
I was pointing out what the Islands can sustain without imports. What manufacturing are you proposing. What agriculture on what land? How viable are they? Right now, you have coffee and Mac-nuts. How many people are employed for how much land and water? Hawaii has limited fresh water. Who will get it? Not saying it’s not possible, at some level, but I don’t think the needs of the current population for food, water, housing, energy, and employment have been really though through.
Good points. I don’t have all of the answers, obviously. But I know that when the current approach to a problem (in this case tourism as the overhelmingly predominant source of income) is not working, another approach must be sought. It will take time and sacrifice. But future generations are worth the effort. Either that or Hawaii must strictly limit tourism industry (Cap the number of daily arrivals, for example; cap new hotel/resort construction, etc) to stop cannibalism of the scarce resources (like you mentioned, water and livable space, among others). Unchecked growth for the benefit of the travels industry (hotel conglomerates, airlines) is slow suicide.
I don’t know where you read that gem about the decline pre-contact. There were up and down periods — three to be exact — before contact. But, the decline in population without rebound was post contact, due to the introduction of western diseases.
Bou are right about the population bust post pandemic. The mass exodus of residents from Hawaii was startling. And the largest employer of the state, the state government, makes their money from the taxes paid by the residents of the state. Without tax paying residents, the state cannot hire enough employees to continue offering certain social services. And without social services, residents will not be able to survive in Hawaii, thereby increasing the exodus. It’s a vicious cycle.
My family went to Maui this January and I thought It was expensive before Covid. I noticed that accommodation has doubled in price along with food. There are help wanted signs everywhere. We looked at housing costs and condos, one bedroom sell for 700,00 to 2 million.
We have said that it will probably be the last time we can afford to go to Maui!
what we need is more medium income housing all they think about biulding is for low income housing section people which is good but all people no matter what industry we we work in needs a chance to buy/rent a house for our future genertations.
What Hawaii needs is to petition a repeal of the Jones Act. If they can get goods less expensively, then the cost of living in Hawaii will go way down!
Hawaii needs to limit they’re short term rentals. That’s one way of improving the housing shortage for workers. Restaurants and other businesses need to offer discounts to housing providers who make their housing accessible to their employees.
with the hotels and their resort fees thats an extra $700/week plus daily hotel rate $2300 , Air bnb will only get stronger by supply and demand. It is the only thing that will save tourism while still offering housing to anyone.
Alot of the tourist using short term rentals are the same folks who go out to restaurants and food trucks for their meals.
Hawaii needs to Act..on how this is affecting everyone, everything..my friend who is a RN and makes great money said it was Truly a disaster the last two times there, increases in monetary needs and inability to Rent a car , I love Hawaii but there are other places to see..
I agree that car rental pricing have been very high. If you extend your stay they take advantage of higher rates. It’s very discouraging.
I may be exaggerating. But I think that we are becoming, if we are not already there, like a Dubai or Abu Dabi where only the rich live there and the service workers come from the cities around them.
This was our 10th time to Hawaii In January 2023, and most likely our last time, the groceries were outrageously expensive other than markets and even those were way up. Lodging was more expensive, again with CND$ exchange of 30%, nope ain’t going happen, Portugal will be just as nice and 10x cheaper, plus bike riding routes are safer and cooler to bike. You’ve priced yourself out of the tourism market, unless things get better?
Lol
Is not even affordable to do a staycation anymore
During pandemic the hotels were crying about no guests, rooms still expensive and giving rooms away covid and trying to attract our if state tele-work
They should have deep discounted rooms for kama’aina, made a little bit of money, kept their employees working. But no, only the execs made their salaries
I’m not sure why everyone thinks hawaii relies on tourism only people to see benefits from that is foreign business owners hotel owners specifically the booming industry here is actually construction but many don’t like to work hard or don’t have the drive to work in the construction industry they rather take easier jobs like working at a hotel or restaurant where the money is small then everyone so quick to blame tourism. Now cost of living is up but what drives up cost is when the alot of people start to move to hawaii you must be thinking how is that, the realtors and home owners know moving to hawaii is in very high demand so now they start jacking up the prices making huge profits. I hope this cleared the myth thank you.
Construction narrowly beats out science and technology to rank fifth in Hawaii’s industries.
My biggest competition for finding a decent place on Oahu to rent was military always won. I don’t blame landlords for wanting the military guaranteed money, but when you’re turning away someone like me with great credit and a good job, it shouldn’t make a difference. The bases need to help fix this.
Every hotel and owners of condos should be required to contribute to a pool to build housing for workers, or give them a rental subsidy.
Great , add another fee/tax to all the places owned by people that worked their entire life to one day have a place where they can enjoy their free time
Taxes /fees is already high and above the rest of the country
I am sure that there are a lot of folks on here who are opposed to “Big intrusive Government”. Do do what is suggested here in amy threads laws will need to be passed to limit rents, eliminate certain types of business, limit home/land ownership, limit what one can sell property for, and so on. All these things are “Government over-reach”. What is happening in hawaii is capitalism at its finest; make as much money as you can.
It’s not just happening in Hawaii, although Hawaii is a great example. I call it Darwinian Capitalism where it’s survival of the fittest. If you don’t happen to be white, old, and male, you are automatically a leg down. Add to that the unbelievable control that the rich and corporate interests have over our politics and well, you see the results. Finally, when you add in the fact that in that system there is an extreme focus on profits Now regardless of the consequences, well, you see the result in Hawaii where the very reason people come to Hawaii is being destroyed on a daily basis on the alter for more, more, more.
I live here and own my own home, everything has sky rocked. Taxes, HOA fee, gas is still over 5.00 a gal, bread is 8.00-11.00. 18 pk of eggs is 17.99.
Something has to give. I’ll survive. But every job has help wanted signs and no one wants to work. Or they have all left.
Rent in Kona is upward of 2,400. 00 a month. And if you need a four bed room house, you could pay around 6 to 8 thousand dollars a month. Which is nuts! Even at 2,400 you still have water and power and tv, phone. Our power is the highest in the nation. Every angle is grabbing ever piece of the pie you get. No wonder they average time people live here is around 18 mos. Don’t move here without a huge nest egg. Or you’ll be setting yourself up to fail!
Aloha
Yes, I lived there 40 years. Went to Texas to take care of my dad and now I cannot afford to return. (Maui)
Just as cruise ships do and the sugar industry did with plantation camps , hotels should leave a portion of their rooms for housing workers. Rarely do they run 100% .
What seems missing in all the discussion about living in Hawaii is that we need to look at the economy holistically. Somebody mentioned that Hawaii should produce its own milk. OK, how many gallons are consumed annually in the state? How many cows are needed to produce that and how much land and water does that take? Then, add in the cost that goes with raising and processing and distribution. Next, food security. How much land does it take to grow the needed food?
But, at the base, where will the money come from to run the economy? What will be produced locally? The suggestion to improve the skills training in auto mechanics, construction, etc. are for jobs that are for services.
Then everyone will protest the cow methane when should be protesting the methane coming out of the state capital.
Parker Ranch cant fatten cows because besides no corn there is no slaughter houses.
Last time I looked molakai, maui and big island are all farm and grasses growing just
Fine we raise cattle on all of the islands but why do we have to listen to calif
To set the price on our milk. Oh right its easy local people want to be self sufficient
Maybe on idea
Big Island raises cow calf on grass but then ship to mainland to fatten and slaughter package. And then ship back. Parker Ranch has just a dribble of cows now. With a lot of grass going to waste. Ever been to Fresno to all the feed lots and dairy? Stinky not environmental friendly but real life has to happen somewhere.
So it’s still the same as sugar was in the 80s – raised in islands, processed on the mainland to ship back to the islands. Hawaii needs to break that frankly colonial pattern.
It’s called Greed And govt taxes.
Really? If the short term rental business does not exist, who would still go to Hawaii? They are contributing to the tourist industry and making Hawaii still attractive to tourists especially those with limited budget and family in tow. Do you think you can afford to rent one of those units if they’re shut down in order to make them available to renters like you? Consider that even on the mainland rents have soared ridiculously high everywhere–but for a lot of people that’s still the feasible solution than buying a home which is near to impossible unless you have a really thick and fat bank account. The government should focus more on housing than building more hotels in overcrowded Honolulu to favor the lobbyists rather than people in nee
Like much of the country- here even in Central Indiana where a ‘luxury’ 1 bedroom apartment runs $1600 per month- there needs to be a serious reset of wages and costs of housing/ everything. It’s unsustainable. Politicians countrywide need to see this. It’s truly becoming a country of the haves and the have nots. That’s not ok.
The less we owned the less bills, the less stress. life was always good here in the islands if we settled but many didn’t and took off for San Francisco, Las Vegas, etc to play in other states. Hawaii has always been extremely expensive for those without families here, working together. Having family nearby is priceless. It use to be expensive to travel to the islands but now thousands get free one way tickets minthly, since they aren’t wanted in other states.. back and forth they go, constantly whining 🙄.. be an asset to society or end up being deficit
All right…where do I start? I am 4th Generation Hawai’i born, 3rd gen Maui out of Moku O Kula…my Ohana is Japanese immigrants from plantation time back in 1896. Honestly these 37 years born and raised, I have my own ohana, but I am too thinking of packing up and bailing…2020-2022, 18% of Natives and Hawai’i born left, but also 33%+ moved in…pandemic made the housing go through the roof buying and renting along with AB&B and let’s just say $10.10hr min. Wage ain’t gonna cut it when it cost $22per hr just to get by..to make Change!
We, Us, Hawai’i needs to become back into an Independent Country, then so all money spent here stays here…pre-1959 Hawai’i was rich….
The local governments have always gone out of their way to make living in Hawaii impossible. I have lived on oahu and maui since 1976. The govts and unions have got to stop destroying life in Hawaii. Bloated govts,lazy govt and union workers sit back to retire 30 yrs from cushie union and govt pensions after they insur their relatives start another cycle. Dock workers working OT on holiday is a good example of costs run amuck. And why are we paying $9 for milk prices set by Ca milk boards not buying Hawaii produced milk.
Its not Aloha its greed in our state. Wise up folks
The other issue with loving and working in Hawaii is that not only is it more expensive to live there, but it is notorious for not paying employees simar pay for similar jobs. My own empirical data showed that jobs in Hawaii paid up to 1/3rd less that thee exact same job.on the mainland…this makes the higher cost of living in Hawaii, even higher!
Forget affordable housing, instead talk about increasing wages, Duh!!! Why won’t anyone talk about wage increases and I’m not talking about a few dollars!!
Face it, hospitality workers need to make a minimum of $30 an hour just to barely make ends meet!!
So foget affordable housing blah, blah, blah becuz that’s a pie in the sky, but wages can be increased immediately if all these greedy employers would accept the reality and pay quality people what they are worth!!!
Becuz face it – entitled travelers – u want a quality vacation then you gotta pay for it and stop complaining prices are too high!
And considering you barely tip if at all, why do you expect to receive 5-star service when you won’t even pay for it!??
Wake up and PAY
They did increase to 10.10per hr. But the cost of living went up along with everything else…we need a policy that every cent spent in Hawai’i stays in Hawai’i! And/ or…we gotta fight to become an independent Country (Kingdom of Hawai’i) once again, so that the military will be forced to back pay rent, and continue to pay rent for all their occupied areas. Just that alone, would be more than half of the financial fix for the islands.
Wages won’t keep up until price controls are done in relation to housing costs, healthcare, food, energy costs etc. As long as there are no controls over these things- wages will never keep up. We’ve seen where the minimum wage has been essentially adjusted over the past 5 years to about $15. That’s has now been obliterated by 40 year high inflation. So it was all pointless.
$15 per hour is not living wage. Bottom line, we need to get rid of the minimum wage and put a living wage in its place. It can even vary from place to place based on the cost of living. For example, in Hawaii, someone with no wife or kids would need to make about $22/hour in order to have a living wage. That’s not living high on the hog either, that’s what you need to survive.
Travelers complain because the experience is too expensive. Politicians have created policies and hiked up taxes on businesses that have stripped business owners of their income.
They charge more and pay employees less or never give raises because of policies.
This isn’t hard to figure out. Look around you. Where is our country right now? In debt by trillions, Infastructure is failing, taxes are increasing, housing is unaffordable, interest rates are high, food costs are insane. We haven’t even talked about foreign policy disasters that put our country last and we still foot the bill. Until you vote out the corruption, you will continue to be taken advantage of like native Americans on a reservation.
You’re absolutely correct. We need to vote out those corrupt politicians that only care about the rich and the corporations! We need to get people into government that are there because they care about the people, not their big donors and staying in power. We need to put Huge limits on political donations/spending, we need to eliminate the dark money in politics, and we need more transparency in general. As it is, the politicians should wear jackets with patches on them from all their donors like NASCAR so we can see who “owns” them.
Wow!! Not everyone is cheap. When I go to Hawaii I always tip 25-30%. I’m in the industry and I understand what it’s like to be in your position being that I live in Cali. It’s all the nickel and dimeing that we’re tired of. We only eat at local places and mom and pop shops because we try to support local because we feel it’s so important and don’t want them to go away. Not everyone is cheap!!!
Wow!! Not everyone is cheap. When I go to Hawaii I always tip 25-30%. I’m in the industry and I understand what it’s like to be in your position being that I live in Cali. It’s all the nickel and dimeing that we’re tired of. We only eat at local places and mom and pop shops because we try to support local because we feel it’s so important and don’t want them to go away. Not everyone is cheap!!!
Skilled labor gets skilled labor pay.
Unskilled labor gets… min wage pay.
I’m not saying unskilled shouldn’t be paid more but that’s just the way things work. If unskilled gets $30 per hour then are you going to pay skilled labor the same or more?
If double everyones pay then all prices just go up and cause inflation. Then same boat. Unskilled need to get degree and or become skilled. When young work 60 hr a week plus buy a house and stay married. Not just Hawaii. Can’t get ahead most anywhere at unskilled min wage. Self improvement not government handout will solve your problems.
I’m not sure where you get that info, but that doesn’t have to be the case. Look at other countries where they have living wage laws, and they are doing just fine. They just don’t have the income inequality or the kind of corporate profiteering that we have here in the US. Look at the most recent announcement from Disney. They are going to lay off 7,000 people for “cost savings” even though their revenue grew last year. It just didn’t grow enough for the corporate overlords, so they fired their CEO and got one with a proven track record of shafting their employees in his place.
I helped make the Hawaaiin language sacred. I am allowed to use both. Where do I get permission?
thanks/please
I rent, 17 year resident and it took me two years to find an apartment. I pay 2k, no trash, share mailbox and no stove but I am thankful to have a roof over my head. It breaks my heart for the locals who must move to start a family. If there are no “cheap” hourly workers then who will work in the hotels? Slippery slope.
Myself and my wife make a combined income of almost $200,000 she is born and raised here, I have been here for 17 years and we still have to rent. This is out of control.
What happened in 2009? Even the assessor lowered tax rates. Everyone gets an opportunity.
Hotels are Way overpriced in Hawaii, even long-time local establishments. B&B rentals are cheaper and offer a different visitor experience.
My friend complains about prices, especially meals, every time he returns home for a visit from Japan.
If you don’t like bullying, tell
Da Hui,then mabey you will increase tourism.
Wish I felt welcomed.
Simcha
Love Hawaii, but they.are getting what they deserve. Finding every.reason to keep tourists away,any fee they can of, there.using. got news for u Hawaii, you don’t have the best beaches, or water or restaurants.
Just saying, Hawaii seems to keep getting more messed up as time goes by. Consider it a comparison to see who actually cares about the state and it’s people. What can it hurt? The state is already jacked. Again, no offense….
Aloha. The issue is two-fold so it comes from both ends. 1. Housing here is just out of control. $350k houses on the ML selling for 1.2 mil here. It’s absurd. And the lame duck government we have here won’t make a stand for the people and help us.
2. Employers refuse to pay a real living wage. And then scratch their heads and complain when people leave for jobs on the mainland that actually pay. Dear employers, $50k a year just doesn’t cut it here. That’s why you can’t get or keep good people. You gotta pay them. Aloha doesn’t put food in our kids mouths. Pretty simple.
You do realize us employers are suffering the same problems you speak of right? I suffer the same hardships. I pay the ridiculous costs of Healthcare and insurance and taxes for my employees. There’s hardly anything left at the end. I can barely pay myself half the time. It’s not that simple. It’s a systemic problem that will never get better. As long as some from the mainland is willing to pay triple what a house is actually worth, the imbalance will remain.
Oahu lost a portion of its residents in that time frame, not only because of the high cost of living, but also because of the Navys jet and marine fuel spills into the drinking water. It affected 93,000 people on this island who are on navy water lines. Civilian homes and businesses are on navy lines, including parts of the airport. There have been other spills since may and November 21 such as AFFF. The red hill fuel complex has been leaking for decades. The islands sole source aquifer is contaminated. And no one is telling people before they get here. Google it. I know I live here. People are tired of being sick and tired of being gaslit.
My decision to leave Hawaii and relocate to Florida in 2021 had nothing to do with the cost of housing.