The unemployment rate fell in all counties in July except for Honolulu, where it was unchanged, the state reported yesterday.

The declining jobless rates were welcome news on the neighbor islands, which were hit harder by the recession than Oahu.

The biggest improvement was on the Big Island, where the jobless rate fell to 10 percent in July from 10.4 percent in June, according to a report from the state Department of Labor and Industrial Relations.

The jobless rate on Kauai fell to 8.7 percent in June from 9 percent a month earlier, while Maui’s rate fell to 8.2 percent from 8.5 percent. Honolulu’s rate was unchanged at 5.8 percent. Unemployment data for the counties is not adjusted for seasonal variations.

The statewide seasonally adjusted unemployment rate was unchanged in July at 6.3 percent, the U.S. Bureau of Labor Statistics reported last week.

The July jobless rate compares with a year ago when it was at a three-decade high of 7 percent.

"We are continuing to see steady improvement in the employment situation in Hawaii," said Pearl Imada Iboshi, director of the state DLIR.

The unemployment rate is derived from a monthly telephone survey of households conducted by the BLS. A separate survey of Hawaii businesses showed that the state added 5,100 nonfarm payroll jobs during July.

Hiring was strongest in the educational and health services sector, which added 2,700 workers. Another 900 jobs were added in the trade, transportation and utilities category, while leisure and hospitality picked up 700 jobs.

The construction industry lost 2,000 jobs, while jobs in the financial sector declined by 100.