Report bleak on sentiment as jobs stabilise

Business sentiment deteriorated across most sectors of the economy over the second quarter of this year, according to a survey by the employers’ group Ibec.

The one ray of light in the report was evidence of a stabilisation in the labour market. The share of companies planning on increasing staff numbers in the coming quarter remained almost unchanged at just over 20%, with more than 50% planning no change.

The overall business confidence index has dropped to -18 from -16 at the beginning of the first quarter of 2012. Ibec noted that the survey was conducted against a backdrop of increasing tensions in the eurozone, particularly the Greek elections, and the fiscal treaty referendum in Ireland.