Only 15 per cent of Irish employers intend to expand their workforce during the third quarter of the year, according to the latest employment outlook survey from recruitment company Manpower.

This represents a 9 per cent fall from the corresponding period last year and comes in the wake of a spate of job-loss announcements in recent weeks.

The survey, which is based on interviews with 665 Irish employers, also revealed that 4 per cent of companies expect to reduce their workforce over the next three months.

The weakest employment outlook was identified in the finance, insurance, real estate and business services area, with just 2 per cent of employers planning on hiring more staff in the coming quarter.

This is the most pessimistic sentiment in this sector since it was first included in the survey in 2003.

The most positive outlook was evident among employers in the transport, storage and communication sector, with employment here expected to increase by 27 per cent during the next quarter. This is 11 per cent higher than the level reported for quarter two.

According to Jason Kennedy, managing director of Manpower Ireland, although the survey results for certain sectors are disappointing, the overall employment outlook for the country remains positive.

He said the findings reflected the fact that the economy was continuing to grow, but at a slower pace. "Ireland is growing faster than most other economies, but it is crucial that we do not let complacency creep in and that we continue to nurture this growth."

He also pointed out that this was the 11th consecutive quarter in which overall positive hiring intentions had been identified among employers.