Job vacancies rise hints at recovery

THE number of job vacancies for professionals rose 26% in the year to end February, suggesting the “green shoots” of recovery could be under way.

The figures released by the Morgan McKinley Employment Monitor include the small firms sector.

“The 26% year-on-year increase in job vacancies suggests that business confidence, which we have seen return in certain niche areas over the past year, is now starting to improve across all sectors in the professional jobs market, said Karen O’Flaherty, chief operations officer of Premier Group.

“There was a notable decrease (58%) in the number of new professional job seekers in February 2011 compared to the same time last year, highlighting the shortage of skilled workers in specific sectors,” she said.

Increasing incidences of companies using remuneration offers to outbid each other to retain or attract key professionals have again become a feature of the jobs market, she said.

Real job creation also got a welcome boost yesterday when the financial services provider Acorn Life announced the creation of 150 positions in 2011, with 30 of those already filled.

The company said it is investing €2 million in its technology infrastructure.

Meanwhile, the latest Manpower Employment Outlook survey suggests further jobs potential.

Employers in the restaurants/hotels and pharmaceutical industry sectors have forecast they will increase job numbers this year. Net employment should rise 4% in hotels and restaurants and 3% in pharmaceuticals.

Key factors driving demand are rising competitiveness in the economy, plus the recent travel tax cut which “is likely to support businesses in increasing their share in overseas markets over the next quarter,” said Krissie Davies, Manpower Ireland’s managing director.

“Furthermore, we’re not indicating that the Irish labour market is by any means healthy,” she said.

But the figures do suggest “we are seeing some signs that the worst may be behind us.”

The survey of more than 600 Irish employers concluded “the overall employment climate is expected to be downbeat next quarter but seems to be stabilising.”

The net employment outlook of -3% is relatively stable compared to Quarter 4 2010 and Quarter 1 2011.

Year-on-year the outlook has strengthened 5%.