The number of job vacancies fell slightly in December, with 2 per cent fewer reported, according to a Fás/ESRI employment and vacancies survey.

The decline was across the board, with construction, industry, retail and services all reporting a decrease in vacancies, leading to a final figure of 14 per cent for the month.

The industry sector saw a significant fall from 16 per cent in November 2007 to 11 per cent last month.

The figure also represents a considerable decrease on 2006, when vacancies stood at 17 per cent.

In the construction sector, vacancies declined one point to 8 per cent, while the percentage of firms reporting vacancies in the retail and services sectors fell to 1 per cent and 21 per cent respectively.

The outlook for 2008 is somewhat pessimistic, with a fall in employers' employment predictions pushing the Net Employment Expectations indicator down 1 per cent to -10 per cent.

Meanwhile, the three-month moving average fell to -10 per cent, a record low for the index.

This means that the number of employers who expect their firms' employment levels to fall is 10 per cent higher than those who predict an increase.

Employment in the construction and industry sectors is expected to be particularly hard hit during the coming months.

Construction firms are predicting a significant drop in employment levels, with the Net Employment Expectations indicator for the sector slipping to -42 per cent, its lowest level since the survey began in May 2002.

The industry sector is also predicting a bleak outlook, with the indicator falling by 9 percentage points to -22 per cent.