Labour costs concerns grow as economic growth is set to slow, warns Ibec

Ibec’s quarterly Economic Outlook report forecasted 2.3% growth in 2024 and 3% expansion in 2025.

Mr Brady also said the “imposed costs” on businesses will add €4bn to annual employment costs and the €250m fund “will be spread far too thinly across the economy and doesn’t come close to offsetting the cumulative costs involved.” 

Falling goods exports and slowing investment activity are set to hit the economy next year after a period of rapid growth that led to record employment levels, warned lobby group Ibec.

The business representative organisation ramped up its campaign against growing labour costs as concerns grow among its members ahead of the new year especially as details of the €250m State support package for SMEs have yet to be announced.