Unemployment tumbles to record low

The number of people on the live register fell by 40,645 in the 12 months to the end of July, the largest annual fall since records…

The number of people on the live register fell by 40,645 in the 12 months to the end of July, the largest annual fall since records began 33 years ago.

The unemployment rate at the end of July was 4.4 per cent, a drop of 0.1 per cent on the June figure. Although the number of people signing on to the register increased by 3,161 during July, this represented a fall of 3,500 when adjusted for seasonal factors.

Welcoming the latest figures, the Government chief whip Mr Seamus Brennan said the "continued spirit of social partnership over the past 12 years has brought the Irish economy to a position where we have reversed the scourge of high unemployment and emigration".

He said the turnaround in the employment situation "did not happen by chance" and is the result of the "combined efforts of all the social partners".

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Jobs now exist for practically everyone that wants one, Mr Brennan said. Emigration is no longer necessary and many who left during less favourable times are returning.

The Minister for Social, Community and Family Affairs, Mr Dermot Ahern, said that since the Government took up office in 1997 the live register has fallen by almost 95,000. The number on the register has fallen by 16,000 so far this year.

The Central Statistics Office pointed out that the live register is not designed to measure unemployment. "Unemployment is measured by the Quarterly National Household Survey and the latest figure, for December-February 2000, is 81,500 persons unemployed." This equates to an unemployment rate 4.7 per cent.

The new figures were welcomed by Fine Gael's spokesman on enterprise, trade and employment, Mr Denis Naughten. However he said the Government is "consistently failing to bring new industrial investment to the regions".

"A prime example of this is the announcements this week of new jobs for the eastern seaboard while factories are closing in the west."

Ms Mary Upton TD, the Labour spokeswoman on labour affairs, said the increase in the unadjusted rate was once again due to the number of women being "forced to sign on during the summer months", either through lack of job security or because of extra childcare responsibilities.

She said the high cost of childcare was "keeping women out of work during the summer" and this had cost implications as more people were therefore in receipt of unemployment benefit. She called for an examination of the trends involved in women claiming unemployment benefit during holiday periods.

The Irish National Organisation for the Unemployed said the 132,000 people on the live register who receive a payment are worse off now than they were at this time last year.

"The value of the dole payment has been completely wiped out by inflation," said Ms Noeleen Hartigan. "The Taoiseach has admitted that welfare recipients have been the worse affected by the inflation situation. We are demanding that the Government introduce decent dole increases in the next budget." Ms Hartigan said the increase must compensate people for inflation this year, cover them for cost of living increases next year, and give people "a decent amount to live on".

"If the Budget fails to close the poverty gap between those in work and those looking for work it will be a damning indictment of the Government's economic policies."

Colm Keena

Colm Keena

Colm Keena is an Irish Times journalist. He was previously legal-affairs correspondent and public-affairs correspondent