Madam, – Since the onset of the recession in 2007, much concern has been expressed by both economists and politicians about the prospect of high unemployment and subsequent emigration of young Irish people. So far as I can observe the debate has avoided a fundamental underlying cause of our predicament which is the mismatch between inward migration since 2004, and the ability of the Irish economy to create sufficient jobs for the new arrivals.
As long as the euro remains overvalued, migrants will continue to come here attracted by the still very high levels of income, both in the public and private sectors, and the strong purchasing power of the euro in their home countries. The view that young Irish people will not do certain kinds of work is fairly widespread, but is disproven by the fact that prior to 2004 Irish people were willing and able to do all the various jobs available in the economy.
Unless we voluntarily reduce all levels of income by a very large percentage (eg 20 per cent), the structure of our labour force will become increasingly distorted over the next few years.
The result will be the departure again of young Irish men and women in their thousands with tragic economic and social consequences for the country as a whole. – Yours, etc,