• Younger people have been worst affected by the downturn, and this has contributed to a 60% year-on-year increase in the number of graduates seeking employment or further training.
• Young males have been particularly affected by the downturn, with the unemployment rate reaching 40% for 15-19 year-olds and 30% for 20-24 year-olds. In response to the dearth of job opportunities for younger jobseekers, many have elected to stay on in education, resulting in a significant fall in labour force participation rates for those in the 15-24 year-old category.
• The number of new apprentices entering the workforce was down 60% in the first nine months of the year 2009, with construction-related apprentices down 72%.
• Vacancies notified to FÁS were down 35% year-on-year in Q3 2009, with declines occurring for all occupations except health & care service workers. However, on a quarter-on-quarter basis vacancies were actually up 20%, with sales vacancies holding up particularly well, accounting for just under a quarter of all vacancies notified to FÁS. While some of the rise in vacancies can be attributed to seasonal factors, when taken with the Live Register trend, it does suggest a more general improvement in labour market conditions relative to the first half of the year.
• The unemployment rate rose at its slowest rate since 2007, from 12.1% in June to 12.6% in September. The slower rate of increase in unemployment has partly been due to increased outward migration and lower labour force participation by younger people.
• Despite some encouraging signs in recent months, the employment outlook for 2010 remains quite poor, given that the economy is expected to contract again next year. Hence, a return to positive jobs growth is not expected in the short-term.
• The unemployment outlook will partly depend on the extent to which employers decide to switch their employees from full-time to part-time employment in an effort to avoid lay-offs. While this was a popular response to the downturn in the first half of the year, Quarter 3 figures for short-time work would suggest that this ‘buffer’ effect may be beginning to wane.
• According to FÁS economist Brian McCormick: “The expected decline in the numbers employed in 2010 is unlikely to translate into a commensurate increase in unemployment for a number of reasons including lower labour force participation and outward migration.”
A copy of the FÁS Quarterly Labour Market Commentary (Autumn 2009) can be downloaded by clicking
here [Pdf 213kb]
Ends
For further information contact:
Brian McCormick, FÁS Research & Planning Unit, Tel: 01-6070517, E: brian.mccormick@fas.ie
Maria Walshe, FÁS Communications Unit, Tel: 01 6070521, E: maria.walshe@fas.ie
