New figures released by the Central Statistics Office show that the current rate of unemployment is 6.3%, the lowest it has ever been since the market crash. This rate is 2% lower than that recorded in June of 2016 and the exact number of workers who are listed as unemployed fell by 42,100 during this time.
The current rate of unemployment in Ireland is 3% lower than the EU average, reflecting this country’s incredible economic progress in the past few years. Although the unemployment rate is still higher than that in countries like Germany and the Netherlands, experts predict that the steady downward trend will continue.
Furthermore, Ireland has an unique advantage in its ability to better integrate immigrants into the work force. The unemployment rate for foreign nationals in Ireland stood at just 7.7% last month, when they are much higher across the rest of Europe.
Economist Mariano Mamertino believes that “Ireland remains on a clear trajectory for unemployment to fall below 6pc in the coming months” and the country’s “openness to labour immigration remains a positive trend that will help employers to continue to access a larger pool of talent”.
Overall, the low unemployment rate predicts an increase in consumer spending, which will likely heat up competition in the housing market as more buyers can afford their down payments. In addition, It may be advisable to carefully monitor the unemployment rate since if the downward trend continues, the economy will likely soon reach full employment, a sign of overheating.