The seasonally-adjusted rate of unemployment has fallen by 3,100 to 209,500 and is now at its lowest level since January 1984, when it stood at 207,200.

The latest figures from the Central Statistics Office show the percentage rate of unemployment at 7 per cent, the lowest point since modern records began. Only two years ago the rate was at 10.7 per cent.

The live register for January fell from 215,752 to 214,014 and it was down from 256,600 at the same time last year.

Unemployment among the under 25s dropped, on a seasonally-adjusted basis, from 41,800 to 40,500 for the month, with the figures for males and females falling by about the same amount.

According to the latest available figures, the EU average unemployment rate, which has been dropping, is 9.8 per cent. The rate in Germany was 9.3 per cent, in France 11.8 per cent, in Belgium 8.6 per cent, in Spain 18.2 per cent and in Britain 6.2 per cent.

Mr Ahern said the January decrease could have been bigger only for "adverse weather conditions" which had an affect on certain employments - in particular fishing and construction. Some of these people had been forced to sign on the live register.

The Irish National Organisation of the Unemployed (INOU) said it was surprised at an increase in the rate of youth unemployment. While the seasonally-adjusted rate fell, the numbers signing on the live register among the under 25s was up by 600.

"This increase in youth unemployment could be a cause for concern and we cannot be too complacent given the Cork experience with Apple this week," said Mr Barrie McLatchie, national chairman.

The Labour Party's spokesman on Social, Community and Family Affairs, Mr Tommy Broughan, called for the savings made through falling unemployment to be reinvested in programmes for those people remaining on the live register.

He said the "fragility" of the jobs boom had been highlighted in recent days with the "massive job losses at Apple and Schiesser". "There is a need to create a good mix of employment opportunities deriving from both multinational investment and from indigenous industry," he added.

The Minister for Social, Community and Family Affairs, Mr Ahern, welcomed the figures and said he was satisfied the continuing downward trend was being maintained into 1999.

He said the Government's Employment Action Plan was a major contributor to the falling figures.