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Number in jobs falls 5.5% to 1998 level as 108,000 leave workforce

By Seán McCárthaigh - Wednesday, June 16, 2010

THE number of people in employment fell by 5.5% in the first quarter of 2010, with 108,000 leaving the workforce over the previous 12 months, according to the latest Quarterly National Household Survey.

The Central Statistics Office, which revealed the figures, said employment levels were now back at a level last reached in 1998.

The number of people officially recorded as unemployed grew by 52,200 to 275,600 over the 12-month period to last March – a jump of 23%.

However, seasonally adjusted figures also show that the number of unemployed people decreased by 7,500 since the end of 2009.

Ireland’s unemployment rate fell back from 13.3% in December to 12.9% in March. However, it still remains 3.1% higher than the average unemployment rate within the EU. A quarter of all people aged 20-24 are out of work compared to just 8.3% two years ago.

The CSO figures also indicate that the rate at which people are losing jobs is slowing as the annual decrease in employment was in excess of 8% in the previous quarter.

Almost 1.86 million people held jobs at the end of March, while just over 30,000 fewer people are in employment over the first three months of 2010.

The number of men in employment fell at over twice the rate of women, with an annual decrease of 80,400, or 7.5%, for males compared with a decrease of 27,500, or 3.1%, for females.

The large decline in male employment is overwhelmingly due to a reduction of 50,500 in men working in the construction industry.

Nine out 14 sectors recorded lower participation rates, with sizeable reductions in labour activity also noted in agriculture and industry.

The overall labour force now stands at 2,132,700 – down 55,700 over the past year – a figure which indicates that large numbers of people have either emigrated or returned to education.

The CSO also revealed that the number of long-term unemployed increased by 63,500 over the year to last March to 112,600. The long-term unemployment rate is now 5.3% compared to 2.2% in the corresponding period in 2009. The size of the non-Irish national labour force fell by almost 16% to 402,700, down 59,600.

KBC Bank said the Irish job market remained weak, although there were tentative signs that employment is close to stabilising.

It also pointed out there had been a significant outflow of workers who came to Ireland during the boom.

Meanwhile, employers’ representative group ISME claimed the Government’s "wait and see" approach was contributing to the unemployment crisis.

Business group, IBEC, said the latest CSO figures highlighted the need for the Government to urgently focus on measures to address the growing problem of long-term unemployment.

Alan McQuaid, chief economist at Bloxham stockbrokers, said the data was "a sobering reminder to the Government of the current weak state of the labour market".

IrishExaminer.com - Thursday, February 09, 2012

Number in jobs falls 5.5% to 1998 level as 108,000 leave workforce