The unemployment rate fell to 4 per cent in January as the Irish labour market continued to perform strongly.
The seasonally adjusted rate declined from 4.5 per cent over the year to the end of January, and from the revised rate of 4.5 per cent in December.
A total of 116,200 people were without jobs last month, compared with 128,600 in December 2024, and marking a decline of 10,200 compared to January 2024.
Youth unemployment fell over the month with the rate among those aged 15-24 years declining to just under 12 per cent. That figure stood at 12.7 per cent in December.
Among the 25-74 age group, the monthly unemployment rate fell from 3.3 per cent in December to 2.9 per cent last month.
The monthly unemployment rates for males was 4 per cent, a decline from the 4.9 per cent recorded in December and the 4.3 per cent in January 2024. Those figures were 4.1 per cent for women, up from 4 per cent in December, and a decline from the 4.7 per cent rate in January 2024.
“The seasonally adjusted number of unemployed males fell to 60,700 in January 2025, compared with 73,900 in December 2024,” said Conor Delves, statistician in the labour market analysis section. “The seasonally adjusted number of unemployed females in January 2025 rose to 55,500 from 54,700 in December 2024.”
Pawel Adrjan, economist at hiring platform Indeed, noted that Irish job postings on its service, a real-time measure of labour market activity, had steadily retreated after peaking in early 2022 at levels that were more than double their pre-pandemic baseline.
“They have, however, remained relatively high as the market has rebalanced,” he said. “As of January 31st, they were steady at 20 per cent above the February 1st, 2020 pre-pandemic baseline.”
However, uncertainty has emerged over the potential effect of international trade or tax policies, with tariffs imposed by the US a source of unease.
“While this concern is based on what may happen, it is causing uncertainty in the here and now. It also comes against a backdrop of sluggish European growth and as the cost of running a business in Ireland remains high, especially due to energy prices,” Mr Adrjan said.
“Although not within Ireland’s direct control, these actual and potential risk factors are being watched closely by policymakers and may impact job creation in the longer-term, and perhaps in the medium-term also.”
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