Hawai'i's unemployment rate remained at 7.2 percent for a second consecutive month, though it may go higher before the end of the year as the state and other employers reduce payrolls.

The U.S. Bureau of Labor Statistics released unemployment numbers for states yesterday showing Hawai'i's seasonally adjusted rate for October was the same as September's.

A more detailed report from the state showing county joblessness wasn't sent out yesterday, which was a furlough day at the Department of Labor and Industrial Relations.

Hawai'i's unemployment rate has been around the 7 percent range since March and reached a 31-year high in May when it touched 7.4 percent. Companies have been shedding workers because of an economic downturn that began last year and has produced thousands of bankruptcies and job losses.

The newest unemployment report shows the number of residents without a job increased slightly to 46,656 in October.

But more are expected to join their ranks when November's and December's reports come out. The state laid off more than 450 people this week and is expected to let go another 180 before the end of the year.

In addition, Maui Land & Pineapple Co.'s exit from pineapple operations will result in 285 people looking for jobs before the start of 2010, while the Honolulu Symphony said it may lay off half of its workers because of financial difficulties.

The job cuts are occurring even as more reports say the U.S. recession has ended. But experts say employment typically lags recovery because companies are hesitant to take on new workers until they are certain the economy has improved.

Forecasts for both Bank of Hawaii and First Hawaiian Bank call for higher unemployment next year as the state's economy stabilizes and then begins to show some improvement during the second half of 2010.

The state Department of Business, Economic Development and Tourism released its own economic projections this week showing the number of jobs here will decline next year, though at a slower clip than in 2009.

But there were some reasons to be thankful in the October jobless report, starting with the state faring much better than most states.

Hawai'i had the 13th lowest rate nationally and was a full 3 percentage points lower than the national average of 10.2 percent.

Michigan continued to be saddled with the country's highest joblessness at 15.1 percent.

North Dakota had the lowest at 4.2 percent.

Hawai'i was also well below the unemployment rates for other western states, including California, which boasted the nation's fourth-highest joblessness at 12.5 percent.

Nevada came in at 13 percent in October. Oregon was at 11.3 percent and Washington had unemployment of 9.3 percent.

Some people have noted Hawai'i's employment market is worse than the traditionally cited unemployment numbers show because of discouraged people who've stopped looking for jobs and others who work part-time but want full-time employment.

A recently released report by the Bureau of Labor Statistics shows when all of these people are counted — unemployed, discouraged and not looking for work and underemployed — the labor underutilization number for Hawai'i is much higher.

During the 12 months ended Sept. 30, these underutilized people represented 14.5 percent of the state's labor force. That compared to the national average of 15.2 percent.