After Fire on Maui, Unemployment Claims Skyrocket as Locals Encourage Tourist Arrival

  • New unemployment claims in Maui saw an astonishing rise of over 3,322% following the devastating wildfire in Lahaina.
  • As a result of the fires, tourism in Maui declined, with many urging visitors to steer clear of the island.
  • However, local business owners are struggling and are now actively encouraging tourists to return.

Following the devastating wildfires and the subsequent decline in tourism, thousands of Maui residents have filed for unemployment. However, local business owners are now struggling and are actively encouraging tourists to come back.

According to data from Hawaii’s Department of Business Economic Development & Tourism, there were 4,449 new unemployment claims in Maui for the week ending on August 19, compared to only 130 claims filed the week before the fires, which represents an increase of over 3,322%.

This data supports the concerns voiced by some small business owners who previously warned that discouraging visitors from coming to Maui would negatively affect the entire island.

After the wildfire devastated Lahaina on August 8, resulting in the loss of over 100 lives and leaving more than 300 people missing, some locals, including actor Jason Momoa, urged tourists to stay away from Maui to allow the affected community to grieve and rebuild. However, others quickly spoke out, emphasizing that the rest of Maui would also suffer economically and be unable to support those who lost everything if tourists canceled their trips.

Richie Olsten, the director of operations at Air Maui Helicopters, stated that the fears expressed by business owners were already becoming a reality due to a significant decrease in tourist numbers. Olsten, a long-time resident and helicopter pilot in Maui, mentioned that the only other time he witnessed such a substantial decline in tourism was during the COVID-19 pandemic.

“Tourism is the backbone of our economy,” Olsten explained, “If we don’t revive it quickly, everyone will be unemployed.”

The impact of the decline in tourists is evident across the island, with fewer cars on the usually busy road to Hana and fewer people on the once-crowded pristine beaches. Even Mama’s Fish House, typically difficult to secure a reservation at, now accepts walk-ins.

Olsten’s company had to lay off a significant number of staff members, going from seven pilots conducting 25 to 30 tours per day to just one pilot offering two tours per day. Several other businesses on the island have temporarily shut down and are eagerly waiting for tourists to return. If the situation doesn’t change and tourists continue to stay away, Olsten’s company may have to close its doors as well.

Javier Cantellops, the owner of multiple dive shops on Maui, also faced financial hardships due to a high number of cancellations following the fires. He had to refund $45,000 in just three days.

Although visitors are still discouraged from going to West Maui, where Lahaina is located, some people fail to realize that other parts of the island are unaffected by the fire. Olsten mentioned receiving emails from people asking about visiting Maui in October, unaware that the regions outside Lahaina remain safe and pristine.

Both Olsten and Cantellops are now focused on spreading the message that while Lahaina is closed, the rest of Maui is open for tourists.

US Sen. Brian Schatz also joined the efforts to raise awareness about this distinction. In a post on X (formerly known as Twitter), he emphasized that South Maui resorts “NEED visitors” and urged people not to cancel their trips to

Reference

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