THIS year the IDA is targeting companies for job creation who are already firmly established here, especially in the teleservices and health sectors. It also expects the number of jobs created this year should be on a par, or slightly ahead, of last year's record breaking 13,319,

The agency has also warned that awareness must be raised regarding careers in sectors such as technology to avoid serious skill shortage problems arising in the future.

IDA chief executive, Mr Kieran McGowan, said yesterday much of this year's job creation will come from multinationals already based here expanding their operations. Others will be firms who centralise their back office operations in Ireland.

He said the IDA was working on attracting projects in the healthcare and medical devices manufacturing sectors. There would be some new greenfield electronics projects, but they were likely to level off.

The IDA paid out £143 million in grants. Mr McGowan said the average cost per job at £11,920 last year was at its lowest level ever. Ten years ago, the cost per job was around £24,000 per annum.

He said the reduction in costs had come about for several reasons, including the fact that many of the projects were expansions, so the IDA did not have to pay a premium to attract the company to Ireland in the first place. He added that there had also been an internal focus on keeping costs down.

Last year the IDA successfully concluded deals for 206 projects. Of these 64 were investments in the expansion of existing overseas companies in Ireland, 58 were new projects in manufacturing and internationals services, and 84 were projects in the International Financial Services Centre.

The net change in full time employment (excluding jobs lost) was 7,491. Of the jobs lost, around two thirds come from companies reducing their workforces, and one third through closures.

The total employed by IDA backed companies is almost 100,000.

According to the IDA it is these companies who are driving much of the current growth in employment. Directly and indirectly they account for up to 40 per cent of this growth.

Speaking at the launch of the annual report yesterday. IDA chairman Mr Denis Hanrahan said there is "one imperative" to continue this job creation. He said companies would have to be supplied with people with the right skills and training to enable companies to grow.

He warned that the process monitoring the skills and numbers of people needed in the future would have to be sharpened to avoid serious problems arising in the future.

Mr Hanrahan said education was critically important and said he would to see that the education system put more emphasis on practical skills in areas like software.

Mr McGowan said he would like to see schools working closer together.

The IDA said it had disposed of 44 units, representing one million square feet of IDA buildings, to the leaseholders. The move is part of a new policy to get the private sector to provide industrial buildings.