ISME: Childcare crisis hampering recruitment
Business organisation ISME has said the "on-going childcare crisis" is a major stumbling block to recruitment, at a time when small businesses are struggling to fill vacancies.
ISME surveys highlight that small businesses are experiencing increased tightness in the home labour market, due to choice of "highly-qualified females to stay at home because of the lack of and cost of childcare".
Employers are increasingly relying on immigrants to fill vacancies and it is now estimated that a further 250,000 migrant workers will be needed over the next five years.
According to ISME Chief Executive Mark Fielding: "It is extraordinary that there is a ready supply of labour on our own doorstep that we cannot tap into and consequently need to recruit 50,000 migrants annually to satisfy labour demand."
ISME said today that childcare costs in Ireland are the highest in Europe and are keeping large numbers of women out of the workforce.
ISME research shows that childcare costs are now averaging €180 a week nationwide for one child, which is more than three times the EU average and 38% of an average Irish worker’s take home pay and higher than average mortgage payments.
Between 2001 and 2005 female participation in the labour force increased by 7%. However only 1% of this growth came for those aged 25-35, and only 3% for those aged 35-45. The largest increase has come from those in the 45-54 age group, who are most likely to be females returning to work after raising children, and in the 20-25 age group, who according to FAS, are mainly immigrants.
In the CSO’s latest household quarterly survey, there are now 546,000 females classifying themselves as on home duties.
"This is a massive potential labour force that is untapped and would surely be used if childcare facilities were made available," said Mr Fielding.
