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THE ‘GREAT RECESSION’ had a major impact on Ireland’s young people.
A new study from the ESRI said that while the country’s unemployment rate increased from 4.6 per cent in 2006 to 15 per cent in 2012, the youth unemployment rate increased from 9.9 per cent to 33 per cent.
The proportion of unemployed youths with no formal education increased over the recessionary period, as did the percentage that were long-term unemployed and those not in employment, education or training (NEET).
ESRI researchers were involved in a number of studies examining unemployed and NEET youths.
They looked at data from the Central Statistics Office’s (CSO) Quarterly National Household Survey (QNHS) and examined the labour market transition patterns of unemployed youths and NEET individuals in both 2006 and 2011.
“What we’re finding is that the importance of higher levels of education has become much more important since the recession,” researcher Eilish Kelly of the ESRI told us.
But she said that post-Leaving Certificate (PLC) qualifications, including internships, are “not as valued as much in the labour market” today in post-recession Ireland.
Here’s what they discovered
They report that before the downturn (2006), young females were more likely to be unemployed.
But in post-recession Ireland, the risk was higher for young males.
The analysis revealed that unemployed females were more likely to find a job
during both the boom and after the recession.
“Non-Irish national youths have a higher likelihood of becoming unemployed since the economic downturn as well,” they reported.
They also found that the importance of having a Leaving Certificate or higher level of education in reducing the risk of a young person becoming either unemployed or NEET “has become stronger since the economic crisis”.
The research found that there was a dramatic reduction in the percentage of both unemployed and NEET youths who moved into employment between 2006 and 2011:
NEET males were more likely than females to find work during 2006, but this was no longer the case in 2011.
For both groups, the negative effect of having a Junior Certificate or less on finding a job has become stronger since the recession.
A Post-Leaving Cert (PLC) level qualification (including apprenticeships) is no longer important for unemployed youths in securing employment.
They said this was most likely due to the fall in the construction industry and its related sectors.
The analysis revealed that the reduction in the number of unemployed and NEET youths finding work between 2006 and 2011 was “driven by changes in the external environment that changed the value of the characteristics that such individuals possessed”.
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Great news story, a lovely read for a Friday :-)
Fair play to them.
who would thumbs down that comment, wankers!
Fair play lads, I wish you much success.
Thats the sort of innovation Ireland needs.
And they have to leave Ireland, wish they could of stayed in Ireland
Congrats to @patrickc and brother John Collison @collision on latest $18m funding!
This isn’t Twitter you know
Delighted to see these two brothers getting on so well.I am sure they will go far. Fair dews to them.
Fair dues
I stand corrected
They deserve it. Their main product has removed one of the last barriers to market for anyone setting up a new business or wanting to operate a small business. Brillant.
Spot on Peter.
Couldn’t be happier about this. Great people, great product, great investment.
Really amazing entrepreneurial spirit but wish it could have been further developed in Ireland rather than California :)
Why can’t we make it attractive for guys like that to start up/ keep their business in Ireland . What are the politicians doing??
I dont think it can be entirely blamed on politicians..I dont think Ireland has the same startup environment that california has…and I think its a lot to do with our attitude towards entrepreneurs…and lack of VC funding perhaps..I think to imitate an environment like california, Ireland needs a spark, and for lots of people to take risks, both on their own ideas and on other peolpes…and also to think big, these guys obviously have done that but id say they are one of very few in Ireland. Maybe the draw of having like minded people around is what took them to the US?
First time I’ve ever seen a story on the Journal without a single “thumbs down” good work lads.
of course just as I send my comment…………ah well, still a great story
Great news hope it goes well for the young men,best of luck,it’s what Ireland needs at these times
Chris money doesn’t buy genius it’s fairly obvious these boys are something special really proud of them all do I don’t know them
Congratulations to them ! It’s a shame they couldn’t be incorporated in Ireland and employ Irish people, but the truth of the matter is that our universities are not producing graduates of the calibre required to start a tech company and guide it to success .
A corollary to that is the total funding vacuum that exists for tech startups in Ireland , whether it is venture or angel investment. Enterprise Ireland lack the domain knowledge required – a software startup costs peanuts to fund initially ; most of the cost goes on rent and food but EI and their ilk want to give you way more money than you need in exchange for way more equity than you want to give away, on top of ridiculous conditions like needing to hire a minimum number of people and spend a minimum amount which you will then be reimbursed for.
We will never have a so called smart economy if this doesn’t change and we will continue to produce mickey mouse companies that turn a tiny profit and hire a tiny amount of staff.
I don’t agree 100% with the calibre of graduates in Ireland. i think that the problem is more so the numbers of people doing IT/science subjects. There are some pretty smart people coming out of some pretty good courses at the moment but nowhere near enough.
Very well said Eric. The government should make it easier for the existing it contract development community to setup business and go it alone. I have 12 years experience lots of good ideas but I can’t take s year off ti try something without
Free office rent
A grant of about 45 k a year
And free access to broad band and hardware
Give me that enda and in 5 years I would employ at least 5 if not mire people
The thumbs down on the site is getting a bit ridiculous.
@ Chris Gardner – Your very much mistaken these guys went to a public school in Limerick, if their parents wanted elite education for them they could have sent them to Glenstal not far away. The only downfall with this type of talent in Ireland is that we don’t know how to nurture them past the R&D stage. These guys are in the mould of Gates & Zuckerberg,just a shame we couldn’t keep them but the v best of luck to them.
These Brothers while they deserve their hard work it must be pointed out that they came from an enormously priveleged family with basically unlimited resources. They were destined to do well getting every and all help along the way. Not the story of the vast majority of irish young men. As I said I am thrilled they are doing well but I and millions like me never had these priveleges growing or resources. Its a pity all Irish school goers do not get the same equalities and indeed come to school facing enormous disadvantages, We won’t be reading about them anytime soon.
Well done lads.
There should be a http://www.coderdojo.com in every town/village in the country! Time to ditch fable studies and get programming languages into schools!
OMG lads yis are a legend, well done, I’m as proud of you both as if I were your mother! Wonderful…
They’re set up for life then! Well done to them!
Congratulations to you both
The very highest levels of protection must be provided for intellectual property such as this for the most obvious of reasons. I’m certain that the naysayers and petty critics who believe that it’s acceptable practice to thieve from owners of such valuable property will slink to the sidelines while these young lads bask in well deserved glory.
Fantastic achievement lads…well done!
Your welcome Palo Alto, California.
“You’re welcome” dummy
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