FÁS has forecast that the rate of unemployment is set to grow significantly over the next two years.
The training and employment agency's latest quarterly commentary predicts that unemployment will grow to 5.5% this year, and as much as 6.6% in 2009.
Last month the ESRI predicted that unemployment would increase this year to over 6% but it would then stabilise.
Today's report from FÁS forecasts that unemployment could rise even further.
It says a slowdown in the construction and manufacturing sectors are likely to act as major drags on employment growth.
Overall it says employment will grow by 24,000 jobs this year but the proportion of people unemployed will increase to 6.6% in 2009.
The report says that the number of foreign nationals coming here in March fell by almost 50% when compared with last year.
However FÁS says recent figures suggest that a large number of immigrants recently made redundant are choosing to stay in Ireland.
