The number of people signing on the Live Register fell in June following consecutive rises in the previous two months.

Figures for June show that when adjusted for seasonal factors, the number of people on the Register dropped by 1,000 bringing the total seeking unemployment assistance to 140,600.

Despite the fall, the unemployment rate has remained unchanged at 3.7 per cent.

When compared on an unadjusted monthly basis, the Live Register had risen by 7,174 people between May and June.

Mr Dermot Ahern, Minister for Social, Community and Family Affairs, said that an increase for the month of June was not unusual.

"The Live Register normally increases at this time of year mainly as a result of people in the educational sector making unemployment claims following the end of school and college terms. The increase in the June 2001 figures can also be attributed to the indirect impact of the foot-and-mouth crisis on the tourism and leisure sectors," said Mr Ahern.

But Mr Tony Monks, the general secretary of the Irish National Organisation of the Unemployed, expressed concern at the figures and said they compared badly to recent years.

"While it is normal to see an increase in the Live Register figures for the May/June period, today's increase is the worst since May/June 1996," he said.

"The seasonally adjusted fall of 1,000 people compares very badly with the last three years where the average fall in the May/June period has been 3,500 people."

Labour Party spokesman on Social and Community Affairs, Mr Tommy Broughan, said the figures contained worrying signs and accused the Government of adopting a smug and complacent attitude to employment.