There was an annual increase in employment of 3.3% or 61,000 in the fourth quarter of 2013, bringing total employment to 1,909,800. This compared with an annual rise in employment of 3.2% (58,000) in the previous quarter and an increase of 0.1% in the year to the fourth quarter of 2012.
<p>
Employment rose in ten of the fourteen economic sectors on an annual basis and fell in the other four. The greatest rates of increase were recorded in the Agriculture, forestry and fishing (+29.8% or 26,800) and the Accommodation and food service activities (+14.7% or 17,400) sectors. Meanwhile, the largest rates of decrease were posted in the Financial, insurance and real estate activities (-5.6% or -5,700) and Wholesale and retail trade; repair of motor vehicles and motorcycles (-1.1% or -3,000) sectors.
<p>
Unemployment decreased by 41,400 (-14.1%) in the year in the fourth quarter, pushing the total number out of work down to 253,200. This was the sixth quarter running where unemployment declined on an annual basis. The seasonally adjusted jobless rate decreased from 12.7% to 12.1% over the quarter while the numbers unemployed fell by 11,100 on an adjusted basis. The unadjusted jobless rate dropped from 13.7% to 11.7% over the year.
<p>
While emigration has played a role in keeping the jobless rate down, it is now clear that there is more to the fall in unemployment over the past year or so than just that. Employment opportunities are on the rise, which can only augur well for the economy as a whole in the months ahead.
<p>
Although the recovery path for the labour market won’t entirely be smooth, we do think that the numbers at work will rise and the level of unemployment will continue to fall over the course of 2014. It does now appear as though the jobless rate has peaked, and we are now looking for it to fall back to 11.5% on average this year from 13.1% in 2013, which itself was the lowest level since 2009.
<p><h5>Alan McQuaid</h5>
Disclaimer: www.merrion-capital.com/disclaimer
Merrion Stockbrokers Limited (registration no. 307878)
is a limited liability company whose registered office is at
Block C, The Sweepstakes Centre, Ballsbridge, Dublin 4, Ireland.