ireland
workforce
profile no.20
ireland
workforce
profile no.20
march 2010
march 2010
republic of ireland
Workforce Profile
Jean McCarthy
introduction to the republic of ireland
United Kingdom
Ireland
About this Workforce Profile
Organizations striving to be
employers-of-choice in different
countries around the world need
access to current information about
the economic, social, political, and
demographic characteristics of the
countries where their employees live
and work.
The Country Profile Series focuses
on statistics that can guide decisionmaking at the workplace: workforce
highlights, economic highlights, and
population highlights. This Country
Profile is part of a set of resources
about Ireland available on the
website of the Global Perspectives
Institute: www.bc.edu/agingandwork.
Located in the northwest of the continent of Europe, the Republic of Ireland comprises
70,282 square kilometers,1 approximately five-sixths of the island of Ireland. It is bordered
in the northeast by Northern Ireland, a constituent part of the United Kingdom that makes
up the remaining part of the island. Surrounded by the waters of the Atlantic Ocean to the
northern, western, and southern shores, its history has been shaped by its proximity to the
United Kingdom, across the narrow passage of the Irish Sea to the east. After more than
seven centuries of British rule, marked by unrest and rebellion, the Republic of Ireland
declared its independence from the United Kingdom on December 6th, 1921.
In complete contrast to the relative underdevelopment of the economy since independence,
with most industrial activity only occurring since the 1960s, the emergence of the ‘Celtic
Tiger’ in the 1990s witnessed Ireland as one of the fastest growing open economies in the
world. From the late 1980s until the end of the twentieth century, economic growth (GDP)
averaged over 5%, while in some years growth was more than 10%.2 This unprecedented
growth rate reversed the trends of high unemployment and mass migration, and attracted
an influx of migrant workers. The boom was attributed to progressive industrial policy that
boosted large scale foreign direct investment (FDI), low corporation tax, greater access to
third level education, and social partnership between the government and trade unions. The
drivers of 21st century expansion were primarily construction and consumer spending. From
2003 to early 2007, the Irish economy continued to expand at a steady 3-6% per annum.2
The roar of the ‘Celtic Tiger’ weakened when the country fell into recession in the wake of the
global financial crisis of 2008. In 2009, the Irish economy experienced high unemployment,
deflation, and a widening government budget deficit. A slow and gradual recovery is
expected to begin in 2011 after contracting for the third consecutive year in 2010.2
Sponsored by:
agework@bc.edu
1
labor force highlights
ireland
workforce
profile no.20
àà 62.5% of the population is in the Irish labor force.3 The total number of persons in
the labor force in December 2009 was 2,202,300, representing a decrease of 64,300
compared with December 2008.3
march 2010
Figure 2. Employment Rate by Gender, Ireland and Comparable Regional Nations, 2007
80.0
77.4
80%
68.1
70%
Male
74.7
66.3
63.2
60.3
60%
àà The economically active population in Ireland is projected to increase from 2,280,000
in 2009 to 2,574,000 in 2020.4 The ‘economically active population’ comprises all
persons of either sex who furnish the supply of labor for the production of goods and
services during a specified time reference period.
78.4
68.6
Female
59.4
50%
All EU states had higher male than
female employment rates in 2007.
Ireland’s female employment rate
was 60.3%, while male employment
was 77.4%.
àà The unemployment rate was 12.7% in December 2009. The male unemployment rate
was 15.6%, while the female unemployment rate was 9.1%. Long-term unemployment
currently stands at 3.2%.3
40%
30%
20%
10%
0%
àà 20.3% of the population is employed on a part-time basis, which is high compared
with other countries. EU27 part-time working averages at 18.2% of the population,
while the OECD country average is 15.4%.5
Ireland
Netherlands
United
Kingdom
Germany
France
Source: OECD, 20095
àà 16.8% of the population reported being self-employed.5
Figure 3. Employment Rates within Age Group, Selected Regional Comparisons, 2007
100%
Figure 1a. Employed as Percent of Total Population – Ireland , 1999-2009
70%
67.1
65%
64.5
65.2
65.0
64.9
68.2
69.0
68.1
65.4
62.5
Ireland enjoyed growth in
employment rates during the ‘Celtic
Tiger’ era. Since the economic
downturn, the employment rate has
dropped back to the 1999 level.
62.5
60%
2007 employment rates for persons
aged 55-64 were higher in Ireland,
at 54.1%, and the UK, at 57.4%,
compared with other European
countries. For example, France’s
employment rate for older workers
was 38.3%
78.8
80%
81.3
82.1
80.3
25-54
55-64
65.4
60%
54.1
48.8
57.4
55.9
50.1
51.3
45.9
38.3
40%
30.1
20%
55%
50%
15-24
83.6
0%
Ireland
Netherlands
United
Kingdom
Source: OECD, 20095
Germany
France
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Figure 4. Average Age of Exit from the Labor Force by Gender, Ireland and Comparable
Regional Nations, 2007
Source: CSO, 20096
70
Figure 1b. Employed as Percent of Total Population - Selected Countries, 2007
Ireland
76.0
The Netherlands
71.5
United Kingdom
Germany
While employment has dropped
since 2008 given the current
economic environment, comparable
figures were only available for 2007.
69.4
64.6
France
65.4
EU27
50%
In 2007, Ireland’s overall
employment rate of 69% was higher
than the average EU27 rate of 65.4%.
69.0
55%
60%
65%
70%
75%
The average age of exit from the
labor force in 2007 was 64.1 years
in Ireland, the joint second highest
age among EU 27 countries (along
with Bulgaria). The average exit age
in Ireland for women was 64.7 years
compared with 63.5 years for men.
In 2007, the average exit age from
the labour force in the EU 27 was
61.2 years.
65
Total
64.1
64.7
63.5
Male
63.9 64.2 63.6
63.6
62.6
61.7
62.0
62.6
60
Female
61.9
61.5
61.2
59.4
59.5
60.5
59.4
55
50
Ireland
80%
Netherlands
United
Kingdom
Germany
France
EU27
Source: CSO, 20096
Source: CSO, 20096
2
http://www.bc.edu/agingandwork
agework@bc.edu
3
Figure 5a. Current & Projected Economically Active Population Estimates and Projections in Ireland, within age groups, 2009 & 2020
100%
2009
86.0 85.3 84.4 84.6
80%
75.8 76.7
81.9 82.5
81.9 82.5 80.8
83.7
76.1
2020
78.4
64.9
68.5
60%
47.1
The economically active population
aged 45 and over is projected to
increase between 2009 and 2020 in
Ireland.
ireland
workforce
profile no.20
march 2010
economic highlights
àà Gross Domestic Product per capita in the Republic of Ireland is $45,027.5
àà From the 1990s until early 2007, Ireland was the fastest growing economy in the
world, with unprecedented growth rates averaging 5% per annum.7 As a result of the
current recession, economic growth is expected to contract for the third consecutive
year in 2010, before a gradual recovery begins in 2011.2
50.3
40%
26.9 26.9
Figure 6. GDP Growth, regional comparisons, 1992-2010
20%
2020 Male
1.8
2009 Female
1.6
2009 Male
1.8
22.3
31.7
6%
United Kingdom
4%
Netherlands
2010
2008
2009
2007
2006
2005
2004
-2%
2003
0%
2001
2%
This economic boom earned Ireland
the nickname of ‘Celtic Tiger.’
2002
20-44
Germany
2000
16.2
8%
1998
25.4
France
1999
1.7
10%
1996
2020 Female
Under 20
Ireland
1997
Figure 5b. Current & Projected Economically Active Population as % of Total Population in
Ireland by Gender, 2009 & 2020
12%
1995
Source:ILO, 20104
From the 1990s until early 2007,
Ireland was the fastest growing
economy in the world, with
unprecedented growth rates
averaging 5% each year, and even
reaching double-digits
1994
65+
1993
20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64
15-19
1992
0%
9.0 9.9
-4%
45+
-6%
0%
13.3
28.5
36.2
10%
20%
-8%
19.5
30%
40%
50%
Source: IMF,20097
60%
Source:ILO, 20104
Figure 7. General Government Consolidated Debt as Percentage of GDP, selected
regional countries, 2008
80%
Ireland
France
70%
General government consolidated
debt in Ireland increased greatly
from 35% of GDP in 2007 to 43.2%
of GDP in 2008.
Germany
United Kingdom
60%
Netherlands
50%
EU16
40%
30%
20%
2004
2005
2006
2007
2008
Source: CSO, 20096
4
http://www.bc.edu/agingandwork
agework@bc.edu
5
demographic highlights
ireland
workforce
profile no.20
àà The population of Ireland currently stands at 4,459,300.3
àà The age structure of the Irish population is different to most other countries in
the EU and the demographic situation is very favourable over the medium term.
Ireland’s peak population age group is about 10-15 years younger than in the EU 27.
However, by 2050, Ireland’s population structure will be quite similar to the rest of
Europe. (See Figures 10a-10c and Figures 11a-11c.)
march 2010
àà 87% of the Irish population is white Irish, while 6.9% is of other white heritage,
0.97% African, and 0.4% Chinese.8
Figure 10a. Population Distribution of Ireland, 2010
àà Total Fertility Rate (TFR), which indicates the average number of children per
woman, is currently at 1.9 in Ireland. It is projected to remain at this level up to
2041.9
Male
àà Approximately 11% of the Irish population is aged 65 and over. Projections forecast
that 20-25% of the population will be aged over 65 in 2041. The number of oldest
persons (aged 80 and over) is projected to quadruple from 110,000 to 440,000 by
2041.9
Figure 8. Median Age, by Gender, Regional Comparisons, 2009
39.4
40.9
38.0
France
Total
Female
43.8
45.2
42.6
Germany
Male
35.0
35.7
34.2
Ireland
The median age of the population
of Ireland is 35, which is lower than
other European countries.
40.4
41.2
39.6
40.2
41.3
39.1
Netherlands
United Kingdom
0
10
20
30
40
10%
8%
2%
4%
6%
79.3
82.4
76.3
Germany
Male
Female
Male
79.4
82.1
76.8
79.0
81.6
76.5
Netherlands
United Kingdom
0
20
40
60
80
6%
10%
8%
Female
100+
95-99
90-94
85-89
80+
75-79
70-74
65-69
60-64
55-59
50-54
45-49
40-44
35-39
30-34
25-29
20-24
15-19
10-14
5-9
0-4
Total
78.2
81.1
75.6
Ireland
4%
Figure 10b. Population Distribution of United Kingdom, 2010
Figure 9. Life Expectancy at Birth, Regional Comparisons, 2009
81.0
84.3
2%
% of Population
50
77.8
0% 0%
Source: US Census Bureau11
Source: CIA, 201010
France
Female
100+
95-99
90-94
85-89
80+
75-79
70-74
65-69
60-64
55-59
50-54
45-49
40-44
35-39
30-34
25-29
20-24
15-19
10-14
5-9
0-4
The life expectancy at birth for
the Irish population in 2009 was
approximately 76 years for men and
approximately 82 years for women.
10%
8%
6%
4%
2%
0% 0%
2%
4%
6%
8%
10%
% of Population
Source: US Census Bureau11
100
Source: CIA, 201010
6
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agework@bc.edu
7
Figure 10c. Population Distribution of France, 2010
ireland
workforce
profile no.20
Figure 11b. Population Distribution of United Kingdom, 2050
march 2010
Source: US Census Bureau11
Source: US Census Bureau11
Figure 11a. Population Distribution of Ireland, 2050
Figure 11c. Population Distribution of France, 2050
Source: US Census Bureau11
Source: US Census Bureau11
8
http://www.bc.edu/agingandwork
agework@bc.edu
9
references
ireland
workforce
profile no.20
about the institute
Established in 2007 by the Sloan Center on Aging & Work at Boston College, the Global
Perspectives Institute is an international collaboration of scholars and employers
committed to the expansion of the quality of employment available to the 21st century
multi-generational workforce in countries around the world.
1
Government of Ireland. (2009). Geography of Ireland. Retrieved November 2nd, 2009, from: http://www.gov.
ie/en/essays/geography.html
2
International Monetary Fund (IMF). (2009). Ireland Country Information. Retrieved January 5th, 2010, from:
http://www.imf.org/external/country/irl/index.htm
3
Central Statistics Office Ireland (CSO). (2009). Quarterly National Household Survey. December 2009
Retrieved January 7th, 2010, from: http://www.cso.ie/releasespublications/documents/labour_market/current/qnhs.pdf
The Global Perspectives Institute focuses on innovative and promising practices that might
be adopted by employers and policy-makers.
4
ILO. (2010). Laborsta. Retrieved January 6th, 2010, from: http://laborsta.ilo.org/STP/guest#BB437
The Institute’s research, publications, and international forums contribute to:
5
OECD. (2009). Stat. Extracts. Retrieved January 4th, 2010, from: http://stats.oecd.org/Index.
aspx?DatasetCode=CSP2009
6
Central Statistics Office Ireland (CSO). (2009). Measuring Ireland’s Progress 2008. Retrieved November
12th, 2009, from: http://www.cso.ie/releasespublications/measuringirelandsprogress2008.htm
7
International Monetary Fund (IMF). (2009). World Economic Outlook Database. Retrieved January 5th, 2010,
from: http://www.imf.org/external/pubs/ft/weo/2009/02/weodata/index.aspx
8
Central Statistics Office Ireland (CSO). (2007). Census 2006 – Principal Demographic Results. Retrieved
October 9th, 2009, from: http://www.cso.ie/census/census2006results/volume_5/Table_of_Contents.pdf
9
Central Statistics Office Ireland (CSO). (2009). Population and Labour Force Projections 2011-2041. Retrieved
December 9ty, 2009, from: http://www.cso.ie/releasespublications/po_lab_project.htm
10
Central Intelligence Agency (CIA). (2010). The World Factbook 2009. Retrieved December 15th, 2009, from:
https://www.cia.gov/library/publications/the-world-factbook/geos/ei.html
11
U.S. Census Bureau. (2010). International Database. Retrieved January 10th, 2010, from: http://www.census.
gov/ipc/www/idb/country.php
march 2010
Country Context Team Leaders
àà
a deeper understanding of the employment experiences and career aspirations of
employees of different ages who work in countries around the world;
Tay K. McNamara, Director of Research,
Sloan Center on Aging and Work
àà
informed decision making by employers who want to be employers-of-choice in
different countries; and
Jungui Lee, Postdoctoral researcher,
Sloan Center on Aging and Work
àà
innovative thinking about private-public partnerships that promote sustainable,
high-quality employment.
Marcie Pitt-Catsouphes, Director, Sloan
Center on Aging and Work
The Sloan Center on Aging & Work at Boston College promotes quality of employment as
an imperative for the 21st century multi-generational workforce. We integrate evidence from
research with insights from workplace experiences to inform innovative organizational
decision making. Collaborating with business leaders and scholars in a multi-disciplinary
dialogue, the Center develops the next generation of knowledge and talent management.
The Sloan Center on Aging & Work is grateful for the continued support of the Alfred P.
Sloan Foundation.
Jean McCarthy is a doctoral student and part-time lecturer in the Department of Personnel and
Employment Relations at the University of Limerick, Limerick, Ireland. Her area of research is focused
on understanding organisational decision-maker attitudes toward older workers. She also has strong
research interests in a role theoretical analysis of ageist attitudes.
10
http://www.bc.edu/agingandwork
agework@bc.edu
11
For additional Sloan Center publications, visit our website at www.bc.edu/agingandwork
Global Statistical Profile 01 - Japan
Global Statistical Profile 02 - United States
Global Statistical Profile 03 - Pakistan
Global Statistical Profile 04 - South Korea
Global Statistical Profile 05 - China
Global Statistical Profile 06 - Greece
Global Statistical Profile 07 - Armenia
Global Statistical Profile 08 - Italy
Global Statistical Profile 09 - Singapore
Global Statistical Profile 10 - Denmark
12
Global Statistical Profile 11 - South Africa
Global Statistical Profile 12 - India
Global Statistical Profile 13 - Kenya
Global Statistical Profile 14 - Australia
Global Statistical Profile 15 - Germany
Global Statistical Profile 16 - France
Global Statistical Profile 17 - Sweden
Global Statistical Profile 18 - United Kingdom
Global Statistical Profile 19 - Spain
http://www.bc.edu/agingandwork