The number of people signing on the Live Register rose slightly in November, according to the latest data released by the Central Statistics Office (CSO).

After taking seasonal factors into account, the number of people claiming unemployment benefit increased by 900 last month, bringing the total to 156,300. A gender breakdown showed females accounted for the vast majority of this increase.

In the first 11 months of 2006, the number of people on the Live Register averaged 157,600, a year-on-year increase of 400.

The CSO also reported that the standardised unemployment rate (based on the latest Quarterly National Household Survey) inched up to 4.5 per cent last month, from 4.4 per cent in October.

Ruairi Quinn, Labour's enterprise, trade and employment spokesman said yesterday last month's increase in unemployment demonstrates "the folly of the Government complacency on the overall economic picture".

However, economists took a more circumspect view. Goodbody's chief economist Dermot O'Leary said overall trends in the labour market remain positive. The fractional rise in unemployment was due to the fact that labour force growth has outpaced the rate of job creation, he said. Immigration accounts for more than one-half of all labour force growth, and is a major reason for the increase in the level of unemployment this year, he said.

Mr O'Leary emphasised that there is no evidence to suggest that Irish nationals are losing out as a result of the immigrant influx. The unemployment rate for immigrants rose from 4.6 per cent to 5.6 per cent, he said, whereas the unemployment rate for Irish nationals remained steady at 2.8 per cent.

Alan McQuaid, chief economist at Bloxham Stockbrokers, agreed that the outlook is positive. "With the economy continuing to roar ahead, and the construction sector showing little sign of slowing down, overall employment prospects remain very favourable heading into 2007," he said.