The Chartered Institute of Personnel Development (CIPD www.cipd.co.uk/branch/ireland ) has come out today to say that it does believe massive job losses are on the cards, if the expected slow down occurs in the housing market. But on the same line they have in this article on their website that states jobs being advertised in Ireland has fallen from 10% to 6%. It continues to say that in Ireland there are an estimated 13% of companies who are seeking workers (this is down 3%). The construction sector in Ireland is a large industry which has almost 15% of the Irish workforce.
So are the CIPD just spouting some random nonsense into to get a news headline ? We think so. Their spin on the whole ‘expected housing market fall’ is that it won’t effect jobs. But anyone with 1/2 a brain knows that it will. Less money for house will certainly mean that there will be fewer of them being made. David McWilliams wrote at the weekend about the worrying new trend in Ireland where a high percentage of new buyers are going for a fixed rate mortgage. He says
“As the housing market continues to fall, these poor people facing negative equity have the cold comfort of a fixed-rate mortgage.”
It is expected that some of these lay-offs will come around the builders holiday period in July. So I guess we just need to wait and see ! (P.S thanks to katColorado for the pic)