The total number of people at work increased by a record 95,000 between April, 1997, and April, 1998, and the unemployment rate, at 7.8 per cent, is the lowest in recent years, according to the latest survey figures from the Central Statistics Office (CSO).
The Minister for Enterprise, Trade and Employment, Ms Harney, said she now wanted the rate of unemployment to be down to 5 per cent within two years. "That is an attainable target with the continuation of the right policies by Government," she said.
Based on comparing the former annual Labour Force Survey with the new Quarterly National Household Survey (QNHS), the CSO estimates that an extra 95,000 people took up employment in the 12 months ended last April, while the number of unemployed people fell by 32,400, or over one-fifth, from 159,000 to 126,600. The unemployment rate fell by 2.5 percentage points, from 10.3 per cent to 7.8 per cent.
Half of the employment growth occurred in Dublin and the "mid-east" region (Kildare, Meath, Wicklow), where the unemployment rate is 7.2 per cent.
The Border counties of Cavan, Donegal, Leitrim, Louth, Monaghan and Sligo have, collectively, the highest unemployment rate, at 10.4 per cent.
All of the jobs growth can be attributed to "the non-agricultural private sector". "Non-agricultural private sector employment is now estimated to be over one million and to have grown by a quarter since 1995," according to the CSO.
The services sector contributed most to this growth, accounting for 60,000 extra jobs or almost two-thirds of the extra employment. Public sector employment numbers remained static, employment in agriculture, forestry and fishing fell by over 5,000, general industry contributed an extra 10,000 jobs "and building and construction employment was over 25,000 higher than in 1997", the CSO states. The QNHS commenced in September, 1997, replacing the annual Labour Force Survey which was conducted every April.
Because of improved coverage of part-time employment figures, the CSO had an inflated figure of those in employment. "Our best estimate is that approximately 20,000 of the total effect recorded is due to this survey effect," Mr Gerry O'Hanlon, a CSO director, said.
As a result the "underlying change" for the year is 95,000, of which 35,000 were full-time jobs and 60,000 part-time jobs. Most of the take-up - 52,000 - was by males. But the female participation rate is believed to be increasing, Mr O'Hanlon said.
The female unemployment rate fell by 2.9 percentage points, from 10.3 per cent to 7.4 per cent, a greater decrease than the 2.3 percentage points fall for the male unemployment rate, from 10.4 per cent to 8.1 per cent. Almost 8 per cent of working males surveyed in the QNHS stated they were working part-time, compared to 30 per cent of females.
The Minister for Social, Community and Family Affairs, Mr Ahern, said the unemployment rate was 2.4 percentage points below the EU average of 10.2 per cent, and the Government's Employment Action Plan was working to continue the trend.
But the National Organisation of the Unemployed stated that the vast majority of long-term unemployed people were "going into schemes or into despair".