Why are Irish job ads falling when unemployment remains low?

IRISH JOB POSTINGS on recruitment website Indeed fell to their lowest level in more than five years in July, although recruitment specialists say the decline does not necessarily mean an equivalent fall in available jobs.

Average postings in July were at their lowest since March 2021, down 13.6% on the same month last year.

Postings have since recovered somewhat, but Indeed’s latest labour market report shows they remained 9.1% below the level they were at a year earlier as of 4 September.

Unemployment, meanwhile, remains relatively low at 5%, and Indeed says hiring demand has stabilised in recent months.

Peter Cosgrove, managing director of Careers Portal, said the fall in online advertisements should not automatically be interpreted as an equivalent decline in jobs.

“The recruitment process itself is changing,” Cosgrove said.

Cosgrove said AI was making recruitment platforms increasingly frustrating for employers and applicants alike.

“Jobseekers can use AI to apply for hundreds of roles, while employers are using AI to screen huge numbers of applications. We’re starting to see a bit of an AI arms race.”

He suggested employers could increasingly turn to targeted recruitment through LinkedIn, referrals and careers fairs.

Libby Kelly, chief executive of recruitment specialist Brightwater Group, said Indeed’s figures did not capture jobs filled through direct approaches, referrals, confidential searches or internal hiring.

She said AI-assisted applications were also changing how employers recruited, with some receiving far more applications than previously.

“Some clients have had thousands of applicants for roles that would have previously been in the tens of applications,” Kelly said.

“This is driving the need for a more specialised approach.”

She said employers were turning to recruitment specialists to verify applicants’ experience and identify candidates genuinely suited to a role.

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Cosgrove said businesses may also be more reluctant to hire amid uncertainty.

“When there is uncertainty, the first thing many employers do is pause recruitment rather than cut existing staff,” he said.

“They wait longer before replacing somebody who leaves and ask whether the work can be absorbed internally or increasingly done using technology and AI.”

Kelly said the market had normalised following exceptional hiring during and after the pandemic, with employers becoming more strategic about recruitment.

She added that temporary and contract work was a growing area, with many such positions filled directly rather than advertised publicly.

What does it mean for graduates?

A separate University of Limerick survey of 269 employers who hired graduates or student interns in 2025 and 2026 found that 66% were recruiting graduates as planned, while almost a quarter were hiring more cautiously.

Although 62% said entry-level roles had remained broadly unchanged, others reported introducing broader responsibilities, AI-supported tasks and more flexible or fixed-term arrangements.

Careers experts consulted for the survey described a graduate market that remained active but had become more selective and competitive. Some reported static or declining intake in technology and consulting, alongside shorter recruitment windows.

Work placements were also identified as an important route into graduate employment.

Is AI affecting younger workers?

Indeed’s latest figures show that 14.9% of Irish job postings mention AI, up from 9.3% a year earlier. Ireland has the highest share among the European countries tracked by the company.

Research published by the Department of Finance in February found that employment among 15- to 29-year-olds in the ICT sector fell by more than 20% between 2023 and 2025, while employment among workers aged 30 to 59 rose by 12%.

However, the researchers cautioned against attributing the changes solely to AI, noting that technology companies had also slowed recruitment after a period of rapid post-pandemic growth.

Indeed senior economist Jack Kennedy said AI was changing the skills employers wanted, including outside the technology sector.

“The challenge is making sure people, particularly those early into their careers, have the opportunity to develop the skills employers will need as the world of work changes,” Kennedy said.

Kelly said Brightwater was continuing to see demand for specialist staff in areas including AI and data, engineering, healthcare, financial services and accounting.

“For candidates there are still opportunities of course, but they need to be targeted and demonstrate their specialist value as well as showing how their skills are evolving.”