New data from the Central Statistics Office (CSO) has revealed a slight increase in Ireland’s unemployment rate for December, which rose to 4.2%, up from 4.1% in November. However, the jobless rate shows an improvement compared to the same period last year, as it dropped from 4.5% in December 2023.
The CSO’s figures indicate that the monthly unemployment rate for men in December was 4.2%, a slight increase from 4.1% in November but an improvement from 4.3% in December 2023. Similarly, the unemployment rate for women remained unchanged at 4.2% in December, matching the revised figure from November, and marking a decrease from 4.6% in December 2023.
The youth unemployment rate saw a rise, increasing to 11.6% in December, up from a revised rate of 11.2% the previous month.
The seasonally adjusted number of people unemployed in December stood at 121,700, compared to 120,300 in November. On an annual basis, the number of unemployed people fell by 3,900 compared to December 2023.
Jack Kennedy, senior economist at hiring platform Indeed, commented on the figures, noting that unemployment remained below or at 4.5% throughout 2024, outperforming initial predictions. “This remarkable performance is ahead of expectations in early 2024 that the rate would not exceed 5% at any point during the year. It also extends the number of months the unemployment rate has been below 5% to 35,” he said.
Kennedy also pointed out that job postings on Indeed, a real-time measure of labor market activity, have been slowing. As of December 20, the Indeed Job Postings Index for Ireland stood 11% above the pre-pandemic baseline of February 2020, but this was a decrease from 31% above the baseline in December 2023.
While job postings have slowed, Kennedy reassured that this is not a cause for concern. “Given the resilience of the labor market as indicated by the unemployment data, this slowdown in job postings is not a sign of trouble but rather a sign of a rebalanced market,” he explained.
Looking ahead, Kennedy predicted that Ireland’s unemployment rate is expected to average 4.5% throughout 2025. However, he cautioned that the country’s economic outlook remains vulnerable to global economic volatility.