Nearly two-thirds of US multinationals in State expect to hire employees over next 12 months

Survey by American Chamber of Commerce Ireland suggests housing is top concern for members

Nearly two-thirds of US multinationals operating in the State expect to hire additional staff over the next 12 months, bucking the recent trend of high-profile lay-offs in the tech sector.

A survey of American Chamber of Commerce Ireland (AmCham) members, published to coincide with Thanksgiving in the United States, indicated that 61 per cent of US companies operating here said they expected to increase their headcount over the next year.

Just 3.7 per cent of firms said they expected to decrease their employee numbers while 35 per cent expected to make no changes.

There are now 900 US companies operating in the Republic, employing almost 200,000 people.

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AmCham’s survey indicated that US multinationals saw housing as the number one infrastructural deficit here, with a third of members (33 per cent) saying housing was “the most important issue to overcome to enable their company to expand in Ireland”.

Almost all said the availability of residential accommodation was important to maintaining FDI (foreign direct investment) employment in Ireland, while 96 per cent of respondents also said reform of the planning system to provide certainty of process and time frame was important.

Some 94 per cent of survey respondents said their corporate headquarters have a positive view of the State as an investment or growth location.

Addressing the annual Thanksgiving lunch hosted by AmCham, Minister for Public Expenditure Michael McGrath said Ireland’s “unique relationship” with the US must never be taken for granted while noting the pivotal role the US played in the peace process and is playing in the economy via investment and jobs.

The Government was committed to a pro-enterprise policy framework by delivering on “fully funded plans” to address housing, energy security, infrastructure, skills needs and the green transition, Mr McGrath said.

Responding to an AmCham survey finding on housing, he noted that housing supply was increasing and would hit the highest mark in more than a decade this year.

"We have a fundamental misunderstanding of our housing need."

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The need is well above the government's policy targets and we're obsessed with married people who are just about to have children, according to the author of he latest Daft.ie report, economist Ronan Lyons. The latest figures show another quarter of extreme shortages in rental supply. Economics Correspondent, Eoin Burke Kennedy, also joins Ciaran to take a deep dive into the report. We also delve into World Cup sponsorship deals with London marketing expert and former head of the Copa90 football agency, James Kirkham. Are brands getting bang for their buck in one of the most controversial tournaments in decades?

Also addressing the event was AmCham chief executive Mark Redmond, who said Ireland’s success in attracting US FDI has powered ahead in recent years, rising to 900 US companies, an increase from 800 in 2020.

These firms employed “almost 200,000 people, spending €12.5 billion on payroll directly, and a further €8.8 billion on goods and services supporting a further 160,000 jobs, up from 144,000 in 2020, in the wider economy,” .

He also noted that the Republic was the ninth largest investor into the US with more than 700 Irish companies operating in the US, employing 100,000 people across all 50 states.

“Ireland greatly benefits from being one of the world’s most globalised small countries, with an extraordinary level of world-class multinational investment and talent. But this means that Ireland is also exposed to headwinds in the global economy,” he said.

“Because of the huge diversity of US businesses in Ireland, we are currently seeing continued benefits and growth while at the same time cognisant of the impact these headwinds can have,” Mr Redmond said.

Eoin Burke-Kennedy

Eoin Burke-Kennedy

Eoin Burke-Kennedy is Economics Correspondent of The Irish Times