Hays Ireland have today released their latest salary and recruiting report for 2016.
The report shows that the Irish labour market is experiencing a period of steady growth. Although unemployment is still over 8.5%, many sectors are already experiencing skills shortages.
Furthermore, the report indicates that nine out of ten organisations in Ireland say they will be recruiting this year and this intense competition for skilled professionals is likely to change the recruitment and retention strategies in the future.
Irish businesses are increasingly optimistic about the future. Seventy nine per cent of organisations expect increased business activity in 2016 and 86% plan to recruit in the coming 12 months. This positive outlook is particularly apparent across sectors such as IT, construction, life sciences, financial services and insurance.
According to the report, 81% of Irish employees are looking to change jobs within the next two years. Less than half (47%) of all employees were satisfied with their salaries but almost two-thirds (62%) expect to receive a pay rise in the next 12 months.
Salary increases remain relatively modest as a whole, with some notable exceptions in IT, construction and finance. Over one third (35%) of employers said salaries have increased by 2.5% or more in the last 12 months, with 65% stating that salaries have increased by less than 2.5%, remained the same or even decreased.
Managing Director of Hays Ireland, Richard Eardley says, "As economic conditions continue to improve, recruitment is firmly back on the agenda for the vast majority of organisations in Ireland. Irish employees are becoming increasingly confident about their future prospects and are taking the opportunity to look for new roles."
He added, "Furthermore, increased business confidence, strong economic growth and major job creation announcements in recent months have not gone unnoticed by employees. Given all these factors, it is now more important than ever before for employers to focus on retention and development strategies in order to retain their staff in an increasingly competitive market."