Ireland’s unemployment rate rose to 4.4% in the fourth quarter of 2025, up 0.4 percentage points from 4% in the same period a year earlier, according to the latest Labour Force Survey from the Central Statistics Office (CSO). The figure marks an improvement from the 5.3% recorded in the third quarter, which had been the highest rate since late 2021.
The survey showed that 128,200 people aged 15 to 74 were unemployed in the final quarter of 2025, an increase of 12,100, or 10.4%, compared with Q4 2024. Youth unemployment remained relatively stable at 9.8%, down slightly from 9.9% a year earlier, with the total number of unemployed aged 15-24 holding steady at 35,000.
Overall employment continued to grow, with the rate rising to 74.5% from 74.3% in Q4 2024. The CSO estimated that 2,833,100 people were employed in the quarter, reflecting a 2% increase year on year, equivalent to 56,700 additional workers.
The data also showed that part-time employment accounted for 20.6% of the workforce, or 582,600 people. Among these, 121,300 were classified as underemployed, expressing a desire for more hours and higher pay. Total hours worked increased by 2.9% from Q4 2024, reaching 88.1 million hours per week.
Remote work trends shifted slightly, with nearly two-thirds of workers, or 1,865,600 people, reporting that they never worked from home, surpassing pre-pandemic levels. The number of employees working from home at least some of the time fell by 15,900, a decline of 1.6%, to 956,700.
Minister for Enterprise, Tourism and Employment Peter Burke said the figures demonstrate “continued strength” in the Irish labour market. He highlighted widespread job growth outside Dublin as evidence of the Government’s commitment to balanced regional enterprise development. Key sectors showing strong performance included construction, transportation, and education.
Economic analysts noted that employment growth is moderating. Kate English, Chief Economist at Deloitte Ireland, said the labour market “softened in 2025” with a 2% annual growth rate, indicating a transition to a more moderate pace of economic expansion in 2026.
Conall Mac Coille, Group Chief Economist at Bank of Ireland, said the data confirms expectations that employment growth is gradually slowing from exceptional rates above 3% to a more sustainable forecast of around 1.5% growth for 2026 and 2027. Construction, industry, education, and health were among the fastest-growing sectors in 2025, while wholesale and retail, hotels and restaurants, and the ICT sector saw declines in employment.
The CSO figures highlight a labour market that remains robust but is entering a phase of more measured growth, with low unemployment levels balanced against gradual moderation in hiring across several industries.
