Unemployment rises to 14.5%

The CSO has revised its estimate of the unemployment rate for August to 14.5 per cent, up from previous estimates of 14.4 per cent.

Figures released this morning, relating to the second quarter, show the seasonally adjusted unemployment rate rose to14.2 per cent between April and June, up from 13.9 per cent the previous quarter. For last month, the CSO estimates that the rate rose again, to 14.5 per cent.

The Quarterly National Household Survey shows the long-term jobless accounted for 53.9 per cent of total unemployment in the second quarter, compared with 43.3 per cent a year earlier.

The rate of increase in the long term jobless is accelerating and rose by 7.7 per cent in the second quarter, up from 5.9 per cent during the same period last year.

The unemployment rate continued to be high among men, with 17.5 per cent of males out of work in June, up from 17.3 per cent the previous quarter.

For women, the unemployment rate for women was 10.4 per cent at the end of June, compared to 10 per cent at the end of March.

However, while the numbers at work continued to decrease in the second quarter, it did so at a slower rate.

The employment rate fell by 2 per cent on an annual basis - the lowest annual decline since the third quarter of 2008 when the number of people in employment decreased on an annual basis by 2 per cent.

The figures show the number of people at work fell by 1.2 per cent by the end of June to 2.126 million compared to a year earlier. However this remains slightly higher than the 2.122 million-strong at work in the last quarter of 2010.

Dermot O'Leary of Goodbody Stockbrokers said despite the easing in the rate of decline in employment, the rate had increased over recent months.

"It now stands at 14.5 per cent which is slightly below the peak in the unemployment rate in November 2010 of 14.8 per cent" he said.

He said unemployment was a particular problem for the younger age cohorts, with 27.7 per cent of those between 20 and 24 years-of-age out of work.