Unemployment at 4.5% is at lowest level for 18 years

The numbers on the live register fell by 4,200 in June on a seasonally adjusted basis, bringing the unemployment rate to 4

The numbers on the live register fell by 4,200 in June on a seasonally adjusted basis, bringing the unemployment rate to 4.5 per cent - the lowest for 18 years - according to the latest figures from the Central Statistics Office.

The number of people signing-on increases in June every year mainly due to schools and colleges closing for the summer holidays. As a result, on a non-seasonally adjusted basis, the live register increased by 3,882 people to reach 156,753 at the end of the month.

In the year since June 1999 the live register has fallen by 38,766 people.

The Minister for Social, Community and Family Affairs, Mr Ahern, welcomed the news. He said the Government's active labour market and education programmes targeted at the longterm unemployed and other welfare recipients would ensure that this downward trend would continue. The Tanaiste, Ms Harney, described the fall as a clear indication of the effectiveness of the Government's policy to promote social inclusion.

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"As a result of this remarkable performance, the critical issue now facing the Government is to ensure than an adequate supply of labour is available to meet the needs of an economy that is growing strongly."

However, the Irish National Organisation of the Unemployed warned that those left on the register need to have their incomes protected.

"There are still over 100,000 people reliant on social welfare payments. In the face of growing inflation we have to protect the value of their payments. The paltry £4 dole increase in Budget 2000 is now only worth 26p extra a week."

Fine Gael spokesman on Labour Affairs Mr Michael Creed said that while the drop in the unemployment figures was to be welcomed, it was clear the Government was still failing to provide adequate intervention to prepare the unemployed to take up thousands of job vacancies.

"At a time when FAS is holding recruitment fairs abroad to fill job vacancies in this country there are still 81,500 people unemployed. It seems extraordinary that this group of people are not available to answer the calls by so many employers throughout the whole country."

The number of females on the live register increased by 4,042 in June and the number of males fell by 160. The Labour Party's spokeswoman on Labour Affairs, Ms Mary Upton, said the increase in the unadjusted rate underlined the fact that a very significant proportion of the workforce lacked job security.

"The sharp rise in female unemployment is down to the fact that Irish women still continue to dominate in lower paid, less secure employment."

Seasonally adjusted 25,000 of those on the live register were under 25 years of age, 14,000 males and 11,000 females.

A GERMAN software company is to create 100 jobs in Kilkenny over the next three years, the Tanaiste, Ms Harney confirmed yesterday.

InFoScore, which has headquarters in Baden-Baden and employs 800, will occupy an advance unit at the IDA business and technology park. The company will take on new graduates and experienced software development personnel and has already begun recruiting.