The COVID-19 pandemic has significantly affected the global economy. Entire workforces are now working from home, recruitment & hiring has been put on hold for some companies and a lot of people have lost their jobs.
In Ireland, the pandemic has already undone years of labour market growth in the space of a few weeks, according to Jack Kennedy, economist at Indeed. The Dublin Economic Monitor has shown that Dublin faces “very difficult times ahead”, with eight years of uninterrupted economic growth in the city coming to an end. However, the Organisation for Economic Co-operation and Development (OECD) suggests that the impact from the pandemic on Ireland might be the least severe of all OECD countries.
What companies have been most affected?
Technology Ireland has stated that Irish SMEs have been most impacted, in particular medium sized indigenous tech companies who have the capacity to become multinationals but are struggling with liquidity issues.
However, there are some industries that are experiencing growth and are hiring, including healthcare, insurance, banking and pharmaceutical companies. Also, professional services functions such as accounting, technology and sales & marketing have remained stable.
How has employment been affected?
In January 2020, the Irish Times reported that unemployment in Ireland was at 4.8%, the lowest figure in 13 years. A few months later, this figure has increased significantly and could be as high as 25% by the Summer, according to the Central Bank of Ireland.
A survey produced by Next Generation on how jobs have been affected by the pandemic, found that professionals who just completed a fixed-term contract were struggling to find a new role, professionals who secured a new role experienced a delay in start date and more than 10% of respondents reported that their salary had been reduced (on average a reduction of 28%). If you are currently struggling to find your next role in Ireland, our Specialist Recruitment Consultants can help, just give them a call on +353 1 571 3000 or email your CV to firstname.lastname@example.org.
What will the future of work look like in Ireland?
Looking to life in Ireland post COVID-19, it has been predicted that this pandemic could be the start of a remote working revolution, resulting in less traffic congestion in major Irish cities and the revitalisation of rural Ireland. This may be the answer that Dublin has been looking for with regards to the housing crisis, with professionals living outside the traditional commuter belts.
Written by Michelle Young