Labour demand remains steady, near pre-pandemic levels, as Ireland records the highest share of AI-related job postings.
Ireland’s labour market has entered a more stable phase, with hiring activity holding close to pre-pandemic levels while demand for AI-related skills continues to accelerate across the economy, according to Indeed‘s Labour Market Snapshot for Q3 2026.
The latest data shows overall job postings in Ireland were 1% below their early-2020 baseline as of 4 September, having remained broadly unchanged since mid-April. The findings point to a labour market operating near full employment, with unemployment holding at 5% and employment levels remaining close to record highs.
“AI is certainly changing the skills employers are looking for, and Ireland is at the forefront of that shift”
Indeed said the market has largely normalised following the exceptional hiring demand that followed the pandemic, with recruitment trends now varying more significantly by sector, region and occupation.
KEY NUMBERS: Ireland’s Labour Market Q3 2026
- 14.7% of job ads mention AI
- Highest AI hiring share in Europe
- Job postings 1% below 2020 baseline
- New vacancies 13% above baseline
- Unemployment rate remains at 5%
- Wage growth reaches 3.7%
- Dublin hiring 18% below baseline
- Kildare hiring 7% above baseline
- One vacancy for every five unemployed people
- Job churn falls to 10.7%
Takeaway: Ireland’s jobs market remains stable, with AI increasingly shaping hiring demand across the economy.
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Impact of AI on hiring
One of the standout findings in the report is the growing influence of artificial intelligence on hiring. AI-related terms now appear in 14.7% of Irish job postings, the highest share among European countries tracked by Indeed.
The figure places Ireland ahead of the UK (9.7%), Germany (5.6%), Italy (5%), the Netherlands (3.6%) and the United States (6.7%).
New job creation also remains resilient. While the overall Indeed Job Posting Index stands at 99, new vacancies advertised for seven days or less are running at around 113, representing a level 13% above the pre-pandemic baseline.
The report highlights a changing sectoral picture. A majority of sectors tracked by Indeed, 59%, are now below their February 2020 benchmark in terms of overall job postings. The remaining 41% are at or above pre-pandemic levels.
Pharmacy and Cleaning & Sanitation continue to outperform historical hiring levels, while IT Infrastructure, Operations & Support and Childcare remain furthest below their pre-pandemic positions.
Regional hiring trends
Regional differences are also apparent. Among Ireland’s five largest counties, Kildare is the only one recording job postings above pre-pandemic levels, up 7%. Dublin continues to experience the weakest hiring trend, with job postings running 18% below the February 2020 baseline.
Wage growth remains positive, with posted salaries increasing by 3.7% year-on-year in the three months to July 2026. Consumer price inflation stood at 3.4% over the same period.
Labour mobility is easing as the market settles. The job churn rate declined to 10.7% in the second quarter of 2026, down from 12% previously and lower than the 11% recorded a year earlier. Redundancy payment applications also remain low.
Meanwhile, the vacancy-to-unemployment ratio stands at 0.21, equivalent to one job vacancy for every five unemployed people.
“AI is certainly changing the skills employers are looking for, and Ireland is at the forefront of that shift,” Jack Kennedy, senior economist at Indeed, said. “Around 15% of Irish job postings mention AI, one of the highest shares internationally.
“We’re increasingly seeing AI create demand for new skills and roles, and that demand is spreading well beyond traditional tech jobs. The challenge is making sure people, particularly those early into their careers, have the opportunity to develop the skills employers will need as the world of work changes.”
Kennedy said the broader labour market is showing signs of stability following several years of heightened recruitment activity.
“Our latest data suggests Ireland’s labour market has moved into a more normalised phase following the hiring demand we have seen after the pandemic. While overall demand has stabilised, the picture varies by sector, location and occupation, with AI increasingly becoming an important factor of Ireland’s hiring landscape.”
Image at top: Jack Kennedy, senior economist at Indeed
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