IRELAND'S unemployment rate remained at 5% in October, according to new figures from the Central Statistics Office (CSO), as the number of people out of work edged higher compared with last year.
But rising youth unemployment has led to concern among economists.
The CSO said that the seasonally adjusted unemployment rate was unchanged from a revised 5.1% in September but up from 4.2% in October 2024.
This represents the highest level of joblessness recorded since the start of 2022, when the economy was still recovering from the effects of the pandemic.
The total number of people unemployed in October stood at 147,400, compared with 149,100 in September.
Over the past 12 months, the number of people out of work has risen by 26,800.
The statistics office also confirmed that earlier unemployment data had been revised upwards following adjustments to its Labour Force Survey.
These revisions mean Ireland’s jobless rate has remained at or above 5% since mid-summer.
The rise in youth unemployment has been particularly severe.
The unemployment rate for those aged 15 to 24 reached 13.4% in October, up from 13.3% in September and 10.9% a year earlier.
The CSO estimated that 48,400 young people are now unemployed, representing a 23% increase over the year.
The figures also reveal a gender gap within this age group, with 13.9% of young women unemployed compared with 13% of young men.
“This is similar to trends we have seen across the world of rising youth unemployment,” said Kate English, Chief Economist at Deloitte Ireland, to RTÉ.
“The good news is that the overall unemployment rate remains relatively low at 5%, but what needs to be watched closely is that it is slowly edging upwards.”
English described the latest data as painting a “mixed picture” of the Irish labour market.
Andrew Webb, Chief Economist at Grant Thornton Ireland, said that despite the uptick in unemployment, the labour market “remains tight” as employers in key sectors continue to report difficulty finding suitable candidates.
“The challenge now is matching people to the opportunities that are emerging, particularly as AI and automation change the mix of roles,” he said.
“Ensuring younger workers aren’t left behind will be critical.”
Webb also noted that the traditional summer spike in youth unemployment, which typically eases by autumn, has not occurred this year, which goes to show that the issue may be becoming entrenched.
See More: CSO, Unemployment, Youth Unemployment
