Fall in numbers signing on

The number of people signing on the dole fell by 12,800 in the month of October, figures released today by the Central Statistics Office show.

In seasonally-adjusted terms the fall is 6,600.

The number of persons on the Live Register now stands at 429,553 with the unemployment rate in October at 13.6%, down from 13.7% in September.

Dublin saw the biggest fall in people signing on, down 4.7%, while craft workers made up a quarter of those on the Live Register.

There were almost twice as many men as women on the dole while 82,922 of the total were under 25.

In the Dáil, Taoiseach Brian Cowen said the figures provide evidence that stability is now returning to the jobs market, and the public finances.

"There is evidence that the labour market is stabilising," Mr Cowen said, adding that Exchequer figures published yesterday and indicating a tax take ahead of expectations "reinforces the key message of a stabilising economy".

The fall was described as "positive" by the Small Firms Association (SFA), which said however that we cannot afford to be complacent.

“Jobs will return when confidence returns to the domestic economy," said SFA director Avine McNalley.

"Real and meaningful growth will come from the small business sector, but that is unlikely to happen for some time yet, as many firms are struggling to survive, due to cashflow difficulties; input costs from government administered sectors and restricted access to credit.”

The Irish Small and Medium Enterprises association (ISME) also warned against complacency saying Ireland still has "a massive unemployment problem that needs to be addressed, which is paramount to future economic growth"

"Up to now, the Government has focused on restoration of the public finances and saving the banking system as the two key elements in our economic recovery," said ISME Chief Executive Mark Fielding.

"What is urgently required now is a focus on addressing the jobs crisis, with unemployment still remaining excessively high. Part of this policy needs to include developing, promoting and supporting enterprise”.

Meanwhile the number of redundancy claims received by the Department of Enterprise, Trade and Innovation for October was 3,910 - down 40% on the figure for last October.

Enterprise Minister Batt O'Keefe said this was evidence that the economy was recovering.

"These trends, allied with our strong export performance, healthy foreign direct investment pipeline and declining unemployment figures, are very encouraging signs of economic recovery," said Minister O'Keeffe, who is on a trade mission to the Middle East this week with 45 Irish firms.

Fine Gael leader Enda Kenny called for three steps to invigorate the jobs market, including reducing the level of PRSI contributions for employers to encourage bosses to take on staff.

He also said Aer Lingus and Ryanair should be challenged to boost passenger figures in return for the scrapping of the €10 travel tax, claiming it would have a knock-on effect in creating jobs.

“As we are speaking here, there are able-bodied men and women who are totally frustrated, sitting at home trying desperately to get jobs anywhere, because they want to contribute and they want to do something,” he told the Dáil.

Willie Penrose, Labour’s enterprise spokesman, said emigration was a major factor in the falling unemployment figures.

“The decline in live register figures announced today is certainly to be welcomed, but the underlying pattern remains unchanged, and virtually all of the decline recorded today can be attributed to factors such as emigration, the likes of which we have not seen since the 1980s,” Mr Penrose said.

Arthur Morgan, Sinn Féin enterprise spokesman, backed Labour’s assessment.

“Emigration is a scourge on this State and it is a mask which the Government’s failed labour market policies are hiding behind,” Mr Morgan said.

“We will be left with an economic wasteland next month unless the Government stimulates the economy, creates jobs and retains our young people.”

Richard Bruton, Fine Gael’s enterprise spokesman, said the figures were mainly falling because high-skilled employees were leaving the country.

Mr Bruton claimed the vast majority of the drop was down to under-25s coming off the register.

“This group represents the lost generation which is being forced to leave Ireland and look for work overseas,” Mr Bruton said.

“There is similar evidence of the impact of emigration if you look at individual occupations. The biggest reduction is among high-skilled professionals, which includes some of the most mobile people.

“In other words, the highly skilled people that are able to leave are abandoning the country in droves.”