As the unemployment rate in Ireland remains unchanged, Chambers Ireland’s chief executive says not enough is being done to stimulate domestic demand and support job creation, while a survey from Morgan McKinley shows a positive outlook for recruitment in 2013.
CSO Live Register figures reveal that Ireland’s unemployment rate remains at 14.6pc, having been at that level for three months.
Though seasonally adjusted figures show a decline from 431,000 in December 2012 to 430,100 in January 2013, this marginal drop has done little to affect the rate of unemployment.
“The standardised rate of unemployment has been over 14pc since September 2010, spiking just once to 15pc last February,” Ian Talbot, Chambers Ireland chief executive, reminded us this morning. “The fact that the rate has not fallen substantially in over two years highlights that we are not doing enough to stimulate job creation. On top of this, the IMF has estimated that if it were not for high levels of emigration, this figure would be close to 20pc, on par with some of those countries in Europe worst affected by this recession.”
The number of long-term claimants on the Live Register has risen 3.3pc year-on-year, though the rate of growth has slowed considerably over the past year. Last year’s biggest drops in employment have been attributed to public-sector cuts and, though this is expected to ease off, fresh cuts are possible considering the Government’s commitment to cut €750m in public pay this year – of which €220m has yet to be allocated.
Increased recruitment possible for 2013
Meanwhile, Morgan McKinley’s 2013 Salary Survey of more than 300 hiring managers in Ireland shows that 55pc of hiring managers in the permanent market intend to recruit new employees this year. Most in demand will be qualified, experienced professionals while 30pc will be seeking candidates for graduate or entry-level roles.
The majority of hiring managers surveyed believed that salaries will remain at last year’s levels, though 41pc in the professional hiring market predicted pay rises. However, these are expected to be modest, with increases ranging from 1pc to 10pc.
Only 9pc of those employers surveyed saw emigration as a challenge to sourcing talent in Ireland, though respondents did concede that pay increases will be driven by the need to attract and retain talent.
Accounting and finance, IT, and sales and marketing were noted by those surveyed as the areas most likely to see increased recruitment in 2013.