STATE ANNOUNCES 26% REDUCTION IN UNEMPLOYMENT TAXES FOR 2016

Improved Rates Projected to Save Employers $50 Million

News Release from DLIR, December 23, 2015

HONOLULU — The Hawaii State Department of Labor & Industrial Relations (DLIR) today announced a 26 percent average drop in Unemployment Insurance contribution rates, resulting in employers paying $50 million less in taxes, or $100 less per employee on average for 2016. The annual average per employee has fallen from $910 in 2013 to an estimated $300 in 2016.

“This move comes at a time of continued strength in our state’s economy. It frees up capital that companies can use to improve their businesses, and it’s also a reassuring sign to workers that the reserve has been replenished and will be available to act as a safety net in the event of a future economic downturn,” stated Gov. David Ige.

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