Report claims major skilled labour shortage in economy

Ireland is experiencing skilled labour shortages in several sectors of the economy, an expert group has said.

Ireland is experiencing skilled labour shortages in several sectors of the economy, an expert group has said.

In a report published today, The Expert Group on Future Skills said the sectors affected included construction, finance, engineering, information technology, pharmaceuticals, healthcare, and sales.

But it said most of the State's skill shortages can be met from the pool of migrant labour which currently exists within the European Economic Area (EEA) but there is also a case for limited immigration from outside the EEA, particularly for those that possess "high and company specific skills".

Speaking at launch, Minister for Enterprise Trade and Employment Micheál Martin said that the findings had influenced his thinking in the area and the proposed Green Card scheme as well as changes to the work permits scheme which he announced a fortnight ago took into account its conclusions.

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It is expected that 5,000 Green Cards will be issued each year.

The report noted that many of Ireland's skills shortages could be met from within the EU with accession countries in the east offering the best potential for labour supply.

Chairwoman of the group Anne Heraty warned that improving the indigenous workforce was as important as migration.

"The up-skilling and training of the resident population must be seen as the primary response to skill shortages. Developing the workforce at all levels is crucial to Ireland's sustained economic development," she said.

Mr Martin said the State requires a "sophisticated" economic migration system which both ensures that the economy has the skills it needs to develop and that those who come to work in the country enjoy the same rights as Irish workers.

"Our country has been transformed from being primarily a country of emigration to a country of immigration. The economic arguments around immigration made in the report are convincing," he said.

"The conclusion is that migration can contribute positively to the economy, but only when it is managed correctly."