Minister Donohoe notes CSO figures showing initial impact of COVID-19 on Ireland’s labour market
Foilsithe
An t-eolas is déanaí
Teanga: Níl leagan Gaeilge den mhír seo ar fáil.
Foilsithe
An t-eolas is déanaí
Teanga: Níl leagan Gaeilge den mhír seo ar fáil.
Labour Force Survey data for the first quarter of this year , published by the Central Statistics Office today (Thursday, 21 May 2020), capture the labour market impact of the pandemic only to a limited extent. This is, in part, because the impact on the labour market did not fully manifest until early-April, and also because of how COVID-19 induced job losses are officially classified under international statistical rules.
When the effects of COVID-19 are accounted for, the level of employment in Ireland at the end of the first quarter of 2020 was 2,070,371 persons. While the official seasonally adjusted unemployment rate for the first quarter is recorded at 5.0 per cent, the ‘effective’ unemployment rate capturing the full impact of COVID-related layoffs is best seen in the monthly figure for March which stood at approximately 15.5 per cent. The full labour market impact of the pandemic will not be seen until the second quarter data are published later in the summer. For example, the effective unemployment rate for April accounting for COVID-related layoffs stood at 28 per cent.
Commenting on the figures, the Minister for Finance and for Public Expenditure and Reform, Paschal Donohoe T.D., said:
“Today’s figures confirm that Ireland’s labour market began to feel the negative effects of COVID-19 towards the end of the first quarter of this year. It is clear that the extraordinarily difficult but absolutely necessary measures being taken to save lives and protect public health have had a profound impact on economies and societies all over the world. Ireland is no exception and our labour market is bearing the brunt.”
Minister Donohoe added:
“At this point in time, it is clear that conditions deteriorated further in the second quarter. Thereafter, the situation in the labour market should gradually improve, in line with the recently published Roadmap for Reopening Society and Business, with unemployment steadily falling. My Department is projecting the unemployment rate to approach 10 per cent by the end of the year, with an average unemployment rate of around 14 per cent across the year as a whole.
“The Government has responded quickly and forcefully to limit the deterioration in the labour market on people’s incomes. The Pandemic Unemployment Payment and the Temporary Wage Subsidy Scheme have helped to cushion the shock on both employees and employers. This is how we are bridging the gap between crisis and recovery.”
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