Media News Ireland is tracking a cautious but still upbeat hiring outlook after a new Ibec survey found that the vast majority of employers expect to either grow or hold steady on staff numbers in 2027. While expansion plans have softened slightly, the broader message from Irish business is clear: employers still see talent, permanent recruitment and specialist skills as central to staying competitive.
That makes this one of the more closely watched updates in Media News and News Ireland for business leaders, HR teams and jobseekers alike. The latest findings suggest a labour market that is cooling at the edges rather than turning sharply downward.
Media News Ireland: Most employers still back workforce stability
According to Ibec’s latest talent and pay survey, more than 90 per cent of companies expect to expand or maintain current staffing levels through 2027. That points to notable resilience across the Irish economy, even as firms face pressure from costs, skills shortages and fast-moving technology changes.
The number of businesses expecting outright expansion dipped again, however, to 35 per cent. That compares with 37 per cent last year and 41 per cent in 2024, indicating that hiring ambition is moderating rather than accelerating.
Still, there is an important detail beneath that headline. Among companies planning to hire, a larger share now expects more meaningful growth. Some 43 per cent of those employers said headcount could rise by more than 6 per cent, up slightly on the previous reading. In another strong signal, 92 per cent of firms adding staff said those hires would be permanent roles.
What is driving hiring in Irish business?
The survey points to demand-led growth as the main force behind recruitment decisions. Nearly half of respondents said increased demand for products or services was the top reason for adding workers, while more than a third linked hiring plans to expansion into new markets.
Top reasons firms expect to increase staff
- Growing customer demand
- Expansion into new sectors or markets
- Building stronger talent pipelines
- Need for fresh capabilities, including digital and AI-related skills
Although only a small share of employers said AI skills were the primary reason for recruitment, a much larger group said they were part of the equation. That distinction matters. It suggests artificial intelligence is not yet the sole engine of hiring, but it is increasingly shaping the mix of roles companies need.
For readers following Agency News Ireland and Corporate News Ireland, the survey offers a familiar pattern: companies are still hiring, but they are becoming more selective about where, why and how fast they grow.
AI and digital efficiencies are also influencing job cuts
The survey was not entirely upbeat. Among the smaller group of firms expecting to reduce staff numbers, more than half said digital technology or AI-driven efficiencies would be a factor.
That does not point to a broad-based employment shock, but it does underline a structural change in the market. Some roles may be trimmed or redesigned as businesses automate routine processes, streamline operations and reallocate resources toward higher-value work.
At the same time, increased operating costs remain a leading concern for employers considering workforce reductions. Wage pressure, energy bills and wider business overheads are all feeding into planning decisions for the year ahead.
Where pressure is building
- Rising operating costs
- Higher wage expectations and minimum wage increases
- Investment demands linked to technology upgrades
- Productivity pressure in lower-margin sectors
This dual-track picture — hiring in some areas, efficiency-driven cuts in others — is quickly becoming a defining theme across Media Digest coverage of the Irish workplace.
Skills shortages remain a major challenge
If there is one issue running through the entire report, it is talent access. Ibec said recruitment of the right skills, both in Ireland and from abroad, remains the primary focus for employers.
Businesses continue to report difficulty bringing in international workers for key sectors. Concerns include complex visa and work permit processes, as well as lengthy delays for Irish residence permit documentation. Employers argue these bottlenecks are making it harder to fill vacancies in areas already under pressure.
Sectors most exposed include:
- Hospitality
- Construction
- Care and support services
- Professional and technical roles requiring specialist expertise
This is a key takeaway for anyone monitoring News Ireland: Ireland’s labour challenge is not simply about the number of jobs available, but whether businesses can secure the skills needed to support growth.
Pay growth is expected to cool in 2027
The Ibec survey also gives a fresh snapshot of wage expectations. Average pay increases in 2026 came in at 3.5 per cent, with employers expecting that to ease slightly to 3.1 per cent in 2027.
There was also a marked divide between larger employers and smaller firms. Bigger companies were far more likely to have raised pay this year, while a notable share of businesses with fewer than 50 staff said they had frozen or reduced pay levels.
That split reflects different levels of financial flexibility. Large employers may have more room to absorb higher payroll costs, while SMEs remain exposed to margin pressure and weaker capacity to match pay expectations in a competitive hiring market.
What this means for employers and workers
The survey paints a measured but constructive outlook. Headcount growth may be slowing, yet most firms are not preparing for a major retreat. Instead, they are balancing expansion with caution, investing in permanent staff where demand justifies it, and looking harder at productivity where costs are rising.
For workers, the message is equally clear:
- Permanent hiring remains strong in many sectors
- Specialist and hard-to-find skills are still commanding value
- AI is reshaping roles, not just replacing them
- Pay increases are continuing, though at a slower pace
In practical terms, this is a labour market still offering opportunity, but one that increasingly rewards adaptability, technical capability and sector-specific expertise.
Conclusion
The latest Media News Ireland takeaway from the Ibec survey is one of resilience with restraint. Most employers are still planning to retain or grow staff numbers in 2027, even as AI, wage pressure and operating costs reshape hiring decisions. For Irish business, the challenge is no longer just creating jobs — it is finding the right people, with the right skills, at the right time.
That makes this a story not just about staffing, but about competitiveness. In the months ahead, Media News Ireland will continue to watch how employers balance growth, technology and talent in an evolving labour market.
