Almost half of Irish employers have cut entry-level hires

IrishJobs research has found that hiring in Ireland is becoming increasingly specific, particularly in the area of AI.
IrishJobs has today published new data highlighting the trends and patterns of recruitment in Ireland. The IrishJobs Hiring Trends Update collected data from over 500 HR leaders and nearly 1,000 job seekers in Ireland between March and April, as a way to identify changing attitudes and practices in the employment environment.
Research has shown that 47% of employers who have hired have postponed entry level and graduate recruitment“reflecting the impact of rising costs and increased automation”. More than a quarter of businesses in Ireland, which took part in the survey, were found to be hiring for specialist roles in AI.
Commenting on the report’s findings, Christopher Paye, country director of The Stepstone Group Ireland with responsibility for IrishJobs, said, “We are seeing a clear shift in strategic recruitment, with organizations prioritizing key business roles that support productivity and long-term competitiveness.
“As hiring becomes more selective, our findings show that employers are prioritizing targeted skill building for specialized jobs like AI and cybersecurity, rather than a broader expansion. Rising labor costs and advances in AI are also reshaping workforce planning, prompting many employers to rebalance their hiring mix and focus on in-demand skills.”
Four out of five employers report that they are restructuring their recruiting efforts, to focus on more functional, strategic roles. With more than two-thirds (66pc) of employers of the opinion that the skills needs of the industry are developing rapidly, specialist roles were found to be most popular in companies “where the recruitment budget is concentrated”.
The data suggests that around 30pc of firms in Ireland are hiring for highly specialized roles in AI and machine learning and technical skills are in high demand across a range of industries including cybersecurity talent (22pc), technology and engineering talent (23pc) and sales and development skills (24pc).
It’s slow and steady
Despite the slow pace of entry-level hiring and graduate jobseekers, IrishJobs research also shows that the job market is resilient, even amid economic and global uncertainty. About 50pc of employers have plans to increase employment in the coming months.
The report states, “This positive hiring outlook is highest among large organizations, as 54pc expect to increase hiring in Q2 and Q3 this year. In contrast, only 35pc of small businesses plan to increase hiring levels, indicating a cautious outlook on future growth.”
Notably, despite the recent, high profile to be laid off with great international expertise, such as LinkedIn, CloudFlare again MetaIrishJobs research found that 56pc of employers in the IT and communications sector have increased their recruitment in the last six months. Employers in professional services (51pc), construction (48pc) and manufacturing (42pc) also indicated plans to increase employment in the second half of the year.
Commenting on the findings, Julius Probst, economist at Stepstone Group Ireland, said: “Despite major energy shocks and heightened national uncertainty, economic indicators show that the Irish economy is coping well with these challenges and continues to grow domestically.
“The Spring Economic Forecast recently published by the Government sets out several scenarios for the Irish economy in the coming months, depending on the depth and duration of the Middle East conflict. In all cases, the economy is expected to continue to grow, but at a slower pace, as inflation rises.
“Unemployment is expected to remain below 5pc, supported by strong, albeit slow, employment growth. The hiring outlook remains very positive as employers are expected to face high levels of competition for talent and strong upward pressure on wages.”
Paye added, “For employers, success in the coming months will depend on the ability to invest in talent development and adapt their recruitment strategies to accommodate these shifts. Many employers will likely adopt a skills-based approach to recruitment, as they look beyond traditional qualifications to identify candidates with the technical and transferable skills needed to adapt to this rapidly changing environment.”
“Employers that take an agile approach to talent planning today will be well-positioned to navigate the changing labor market and continue to grow in the coming months.”
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