Recruitment at an all time high according to Bank of Ireland Job Index

- Jobs surge being driven by high demand in the professional and education sectors

Recruitment is at an all time high, according to the latest Bank of Ireland Business Banking Job Index which was published today (Sunday, 9 October 2005). 21,782 recruitment advertisements were placed in the national daily and Sunday newspapers in September, the highest number of advertisements recorded in any month since the Job Index began in March 2002.

The Job Index shows a strong year on year (September 05 v September 04) increase across a number of sectors. Recruitment in the education sector doubled (+50%) during what is a period of high demand as schools return after the summer break. The manufacturing sector showed signs of recovery (+46%), although evidence of a longer term trend will be required before the sector can be said to be near recovery. Record demand was also recorded in the professional sector with 6,399 recruitment advertisements placed in September. This represents a 35% increase over September 2004 and the highest number of advertisements ever recorded by the Job Index for this sector. The retail sector (+11%) increased for the second month running while the healthcare sector showed a modest increase (+1%).

Despite the record increases, there was some downside most notably in the leisure (-22%) and the IT/Tech (-22%) sectors. On a year on year basis, the construction sector also fell back (-5%), although it recorded its highest number of advertisements on a monthly basis since January. The financial sector fell back marginally (-7%).

The strong upward trend recorded in September is also evident on a quarterly basis. Quarter three 2005 is ahead of quarter three 2004 (+6%) with almost 56,000 recruitment advertisements placed during the three month period. The highest increases were recorded in the education (+37%), agriculture (+21%), manufacturing (+19%), and financial sectors (+17%). The professional sector also performed well (+14%) while there were some marginal declines in the construction (-9%), IT / Tech (-8%), and leisure sectors (-3%).

On a regional basis, the job Index shows evidence of strong gains with increases in recruitment demand in September in Cork (+10%), Limerick (+10%), Galway (+22%) and Waterford (+32%). There is a consistent trend for each of these cities with demand in the professional sectors driving recruitment. Demand in Cork was highest with 6,766 recruitment advertisements placed in Cork's local newspapers in September.
The trends evident in the Job Index are consistent with the latest Central Statistics Office (CSO) Quarterly National Household Survey which indicates a high demand for labour in the economy.
Commenting on the findings of the Job Index, Vincent Fennelly, Head of Business Banking segment Bank of Ireland said: 'The increase in the manufacturing sector of 46% is consistent with the Purchasing Managers Index issued earlier this week which raises the possibility of some recovery in the sector with job creation at its fastest pace in 8 months. The professional sector also showed strong growth. Anecdotal evidence suggests that eastern European workers are now filling some vacancies in the professions, particularly in the accountancy sector with qualified Polish accountants meeting some demand. On a regional level, there is high demand for labour in each of the urban centres with a notable increase in recruitment advertisements in Waterford, fuelled by new financial services and bio-tech firms choosing Waterford as their Irish base".

Michael Crowley, Senior Economist, Bank of Ireland said: 'The numbers employed in the Irish economy rose by almost 5% in the twelve months to the second quarter of 2005, according to recently releases CSO data. The indications from the latest Job Index - with recruitment advertising up 6% in Q3- are that this rapid pace of employment growth is being maintained, which in turn is helping to support solid growth in consumer spending in the economy'.

Ends

For reference:
Anne Mathews
Media Relations Manager
Bank of Ireland Group
Tel:01 6043836 / 087 2460358

Vincent Fennelly
Head of Business Banking Segment
Tel: 086 2435408

Note to Editors:

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