Almost 20 per cent of pupils fail to reach Leaving Certificate level at school, and the Government's attempt to cut the figure to 10 per cent is likely to fail, according to a new report.
The report from the European Social Fund said the economic boom had brought so many jobs for young people that many did not see the point of continuing in education.
The report, Challenges for Human Resource Development, also found that those leaving school early were not always prepared for the labour market.
Referring to the Department of Education, it said: "From the Department's point of view its own target of 90 per cent retention in school to the end of the senior cycle by the end of 2000 will probably not be met."
The report described the jobs which early school-leavers were taking as "low-skill". The report's author, Mr Tony Tyrrell, said yesterday that they were often jobs with few long-term benefits.
"The promise of a job can be great for a youngster, but they may not be considering what it means a few years down the road," he said.
"It is clear that the mode of delivery, the point of contact and level of engagement with early school-leavers will have to change to meet changing circumstances," the report said.
"A much more flexible, modular programme will be required that can be accessed by young people who attend on a daily basis as well as by those who attend occasionally."