January unemployment unchanged from previous month as labour market set to remain competitive

Latest figures from the CSO show steady increase from unemployment low of 4.1% last year

Wed, 31 Jan, 2024 - 12:00

Emer Walsh

The rate of unemployment remained unchanged in January from the previous month at 4.5%, with steady rises since May 2023 reflecting a "modest softening" of Ireland's labour market.

New unemployment figures from the Central Statistics Office also show a slight annual increase of 0.1% when compared to January 2023.

"The overall rate remains low, and this reflects a modest softening of what is otherwise a robust labour market," said Jack Kennedy, senior economist at Indeed. "Recent months’ figures have been downwardly revised to show a stronger picture than previously."

Among men, the rate of unemployment increased to 4.6%, up from 4.3% in the previous month and from January 2023. For women, unemployment dropped to 4.4% from 4.8% in December, however, remains up on an annual level from 4.1%.

Youth unemployment, which reflects those aged between 15 and 24, increased to 12.1% in January from 11.5% the previous month. Excluding those aged 24 years old and younger, the rate of unemployment fell by 0.1% to 3.3%.

"The seasonally adjusted number of people unemployed was 127,700 in January 2024, compared with 127,500 in December 2023," said CSO Statistician, Conor Delves.

"There was an increase of 12,600 in the seasonally adjusted number of people unemployed in January 2024 when compared with a year earlier."

Job postings on Indeed fell to 26% above pre-pandemic levels at the end of October and were down to 16% at the end of December 2023, on a seasonally adjusted basis, matching the "continued cooling of the labour market," Mr Kennedy added.

"Our most recent figures, however, showed postings were up to 23% above pre-pandemic levels at the end of January.

"If the unemployment rate levels off as predicted throughout 2024, the jobs market will continue to be competitive."