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Trends in Agency Assisted Employment in the Western Region

The WDC has today published a new WDC Insights Trends in Agency Assisted Employment in the Western Region as well as a county profile for each of the seven western counties.

Employment in businesses which have received support from one of the main enterprise agencies, which are usually export oriented, is termed agency assisted employment. The WDC has published its analysis of data on these businesses for the Western Region for 2004 to 2013.

Our analysis has found that:

  • Lower recent growth: There was less volatility in assisted job numbers in the Western Region over the period. Assisted jobs in the region have not grown as strongly as in the rest of the country since growth resumed in 2010.
  • More permanent full-time employment: Recent assisted jobs growth in the Western Region is more likely to be permanent full-time with the share of temporary/part-time jobs lower now than at the start of the period.
  • Concentrated by sector: Assisted jobs in the Western Region are more concentrated by economic sector than in the rest of the state and manufacturing activities continue to dominate.
  • Foreign owned sector driving growth: The strongest recent assisted jobs growth has been in the modern manufacturing and information and communication sectors which are the sectors with the highest shares of foreign ownership. The foreign owned sector has driven recent growth in the Western Region to a greater extent than in the rest of the state.
  • Irish owned sector performing less well: There has been much greater volatility in the Irish owned sector over the ten year period and the region’s Irish owned sector is not showing as strong a recovery as in the rest of the country.
  • Urban concentration: Urban concentration, especially in the cities, is a feature of assisted jobs. The resumption of growth does appear to be spreading across the Western Region to some degree, although Clare and Leitrim have seen no increase in assisted employment.

Agency assisted employment is a key policy tool for job creation and unemployment reduction.  Recent growth in assisted jobs in the Western Region has not been as strong as elsewhere, particularly among Irish owned businesses.  Agency assisted job creation in the Western Region needs to focus on increasing sectoral diversity and strengthening the Irish owned sector.  Addressing the lower levels of assisted employment in the counties of the North West should also be a policy priority.

Download the two page WDC Insights, full WDC Report and/or 7 county profiles here

Business Demography

The WDC has just published its analysis of the CSO Business Demography data (2011) which shows there were nearly 31,000 active enterprises operating in the Western Region. At 0.057 the average number of enterprises per working age person in the region was lower than that in the rest of the state (0.062).

Overall the Western Region’s enterprise base was more significantly damaged by the recession than elsewhere. Between 2006 and 2011 the decline in enterprise numbers in the Western Region was nearly twice that in the rest of the state (-18.4% compared with -9.8%).  The region’s largest enterprise sectors experienced the greatest declines.

Some sectors did show growth. Enterprise numbers in ‘education’, ‘information and communications’, ‘real estate’ and ‘professional, scientific and technical activities’ increased. While growth in these knowledge intensive sectors is very welcome, they continue to be less important to the region’s enterprise profile.

The Western Region has a less diverse enterprise profile than the rest of the state. It has a higher share of enterprises in sectors that mainly serve local, domestic or tourist markets, while knowledge intensive services account for a lower share of the region’s businesses. The region’s more urban counties tend to have greater enterprise diversity, with rural counties’ economies more concentrated by sector.

A WDC Insights summary or a more detailed WDC Report on the Business Demography data can be downloaded from https://www.wdc.ie/publications/reports-and-papers/

Pauline White

Note: This report was completed in late July, prior to the very recent publication of the data for 2012. The WDC’s analysis of the 2012 Business Demography data will be published soon.

County Incomes and Regional GDP

The WDC recently published its analysis of the latest County Incomes and Regional GDP data for 2011 produced by the CSO.

Our analysis shows that regional income disparities began to widen again in 2011 and that the West, Mid-West and Border regions had the largest declines in disposable income per person between 2010 and 2011.

At the same time national output is becoming more regionally concentrated in the stronger regions and the share coming from Dublin and the South West combined rose from 57.2% in 2002 to 59.9% in 2011.

The West has performed relatively well and its national position has strengthened to become the third largest contributor to national output. The Border region however has seen its national role decline, to the second smallest region in output terms.

Download  a two page WDC Insights summary here

A more detailed WDC Report, including analysis of county level income figures, is also available here

Pauline White