Unemployment falls slightly, but youth unemployment still high
11 May 2021 | 0
The CSO reported that the Covid-19 adjusted unemployment rate fell to 22.4% in April, down from 23.8% in March. These figures are an estimate based on the Live Register and Covid-19 related claims. The main unemployment rate was unchanged from March at 5.8% in April on a seasonally adjusted basis, up from 4.7% twelve months ago.
The figures show the slow downward trend in unemployment, and hopefully mark the beginning of a more long-term recovery for the labour market, according to Jack Kennedy, economist at global job site Indeed.
“Areas like construction, retail and personal services have been in deep freeze and finally will get a chance to thaw this summer,” said Kennedy. “Local economies will hopefully get a boost too from people with pent up savings willing to spend on staycations. Similarly, if we look to the UK, the recent hiring surge there may be a sign of what may happen once more sectors and businesses reopen.”
Kennedy continued: “One area that will be on the minds of the many unemployed young people will be summer work. Traditionally a great way to boost employment among this cohort, it will be interesting to see if figures improve for young people. There are 61.8% of those under 25 classed as unemployed under the Covid adjusted measure, albeit this likely overstates true unemployment as receipt of the PUP payment, which is likely to be temporary for many. Summer work can also provide the means for young people to transition from school into the labour market, something that cannot be underestimated in terms of professional development.”
According to Indeed data, the fastest growing job postings are in loading and stocking, childcare, and hospitality and tourism (although this sector is still down 59% on February 2020). “Looking at job posting trends in the five largest counties found that recovery in Dublin is lagging behind the rest of the country, with postings in Dublin currently 23% below their pre-pandemic level,” said Kennedy. “This is below the national average of -12%. Counties Cork and Limerick are close to the average (both -13%), while Galway and Kildare have recovered more (both -5%).”