The number of people claiming unemployment benefits fell in October in what was the first decline in two years, according to Live Register figures released today.
When seasonally adjusted, the Live Register of jobseekers' benefit and assistance claimants fell by 3,000 last month from 425,500 in September to 422,500 in October, according to the Central Statistics Office (CSO).
In the year to October 2009, there was an unadjusted increase of 161,727 on the Register (+64.5 per cent). This compares with an unadjusted increase of 179,637 (+74.8 per cent) in the year to September 2009.
According to the CSO, the seasonally adjusted figures include a decrease of 2,300 males and a decrease of 700 females, with an average net weekly drop in October of 600, compared to a weekly increase of 50 in the previous month.
In the month, the estimated number of casual and part-time workers on the Live Register comprised 37,273 males and 32,087 females.
The Live Register is not designed to measure unemployment, as it includes part-time workers - those who work up to three days a week - seasonal and casual workers entitled to Jobseekers Benefit or Allowance.
Unemployment is measured by the Quarterly National Household Survey and the latest seasonally adjusted figure, for April to June 2009, is 259,500 persons unemployed.
The standardised unemployment rate in October stood at 12.5 per cent, which compares with 11.6 per cent in the second quarter of 2009, the latest seasonally adjusted unemployment rate from the Quarterly National Household Survey.
The number of people claiming unemployment benefits also fell in September. When seasonally adjusted the CSO calculated that the number of claimants increased by 600 to 429,400 that month, and the estimated rate of unemployment held steady at 12.6 per cent during September.
In a report earlier today, the State training body Fás said the deterioration in the labour market eased considerably during the third quarter.
The Fás Quarterly Labour Market Commentary reveals that although the numbers signing on the Live Register has risen by 76 per cent year-on-year, the percentage of people joining the Register during the third quarter slowed.
As a result, the unemployment rate rose at its slowest rate since 2007 during the quarter, from 12.1 per cent in June to 12.6 per cent in September.
The Irish Small and Medium Enterprises Association (Isme) said the Live Register figures “masked the true extent” of the unemployment problem, claiming the redundancy figures provided a truer reflection of the scale of the crisis.
Isme’s chief executive Mark Fielding said: “The reality is that increased emigration, increased numbers on Fás schemes and younger individuals extending their studies is the cause of the reduction and not some miraculous improvement in the labour market.”
Business group Ibec also said the fall was welcome but that it was too early to say the economy had turned a corner.
Chief economist David Croughan said: “The Live Register numbers . . . must be seen in the context of other indicators showing continuing job losses."
“Business remains under immense pressure due to the global downturn and the massive fall in the value of sterling. It is vital that the government puts in place a stimulus package to retain current employment and stimulate job creation.”
Labour’s spokesman enterprise, trade and employment, Willie Penrose, welcomed the “modest reduction” in the numbers, but claimed the “pressure valve” of emigration had led to a reduction in the numbers signing on.
Mr Penrose said the reduction may prove to be temporary given the traditional pattern of significant increases in numbers out of work during the winter months.
