HONOLULU (HawaiiNewsNow) – Economist Paul Brewbaker said Hawaii\u2019s economy will worsen this year as inflation pressures continue to build.<\/p>\n
On \u201cSpotlight Now,\u201d Brewbaker said Hawaii took a major hit during the pandemic \u2014 bigger than many other states \u2014 and has not fully returned to its pre-pandemic trajectory.<\/p>\n
\u201cThat\u2019s sort of a definition of resilience: getting back to not just where you started, but getting back to the path you were on before. And adaptation is the key to doing that. The difficulty Hawaii is having is making the necessary adaptations,\u201d he said.<\/p>\n
Brewbaker said higher inflation expectations are pushing borrowing costs up, pointing to the 10-year Treasury note moving from about 4% at the end of last year to about 4.6%. He said mortgage rates and other borrowing rates are also being pushed higher.<\/p>\n
Brewbaker said housing costs are the biggest driver of Hawaii\u2019s high cost of living, and said the housing portion of the consumer price index has pulled overall costs higher. He estimated the cost of living in Hawaii is about 25% higher than the national average, a gap he said has not changed much since statehood, but said housing costs have climbed.<\/p>\n
Sherry Menor, president and CEO of the Chamber of Commerce Hawaii, said running a business is \u201cgetting increasingly challenging,\u201d pointing to high costs and ongoing uncertainty that make it difficult for companies to plan ahead.<\/p>\n
Menor said some small businesses have reached a tipping point and decided to close because \u201cthere\u2019s only so much cost they can absorb.\u201d<\/p>\n
Asked what factor weighs most on businesses beyond items like tariffs and minimum wage increases, Menor pointed to \u201cuncertainty of everything,\u201d calling conditions fluid and changing. She said the lack of stability makes it harder for businesses to plan, and added that no sector is immune.<\/p>\n
Menor said small businesses feel the impacts most acutely because \u201ceach dollar counts,\u201d while larger companies may be able to redirect resources.<\/p>\n
Menor encouraged residents to \u201cbuy local first\u201d to support local businesses and keep money circulating in Hawaii.<\/p>\n
With health care systems facing staffing shortages, leaders with the Academy for Healthcare Innovation (AHI) say short-term certificate programs can help get local residents into stable, in-demand jobs.<\/p>\n
AHI offers certificate-based training and entry-level programs such as medical assistant, nurse aide and surgical instrument processing.<\/p>\n
AHI has graduated three nurse cohorts and one group of surgical instrument technicians.<\/p>\n
Executive director Bridget Lai said each had a pathway to employment, including through employer-sponsored tuition or clinical externships that led to recruiting. <\/p>\n
\u201cThe students who complete, certify and work for employers in the community are able to meet the workforce needs,\u201d Lai explained. \u201cWe\u2019re able to partner with hospital systems and other partners, like Arcadia and Ohana Pacific. We review our curriculum to see that the program we\u2019re designing is meeting their needs.\u201d<\/p>\n
A nurse aide salary can range from $46,000 to $51,000, and said benefits can bring compensation into the $60,000 range, and surgical technology can pay over $100,000, Lai said.<\/p>\n
Kimberly Gonzales is a recent graduate who wanted more experience while working at Kapiolani Medical Center for Women and Children.<\/p>\n
Her manager suggested the Academy for Healthcare Innovation program, where she completed eight weeks of training and a clinical externship. <\/p>\n
She said she loves the work and is transitioning into being a medical assistant.<\/p>\n