The CEO of IDA Ireland, Barry O'Leary, has said that approximately 2,300 new jobs had been created in IDA-assisted companies in the year to date, but that about 6,000 jobs had been lost.
The majority of these were accounted for by job losses at Dell in Limerick and SR Technics in Dublin.
Mr O'Leary welcomed the recent decline in labour costs but said that some sectors would need to see salary reductions of up to 15% because Ireland had priced itself out of certain markets.
Mr O'Leary was speaking at the publication of IDA Ireland's annual report for 2008 in Dublin this morning. The report revealed that the number of people employed in companies supported by IDA Ireland dropped by just over 1,200 in 2008.
While 10,000 jobs were lost, 8,837 new jobs were created last year as the number of foreign direct investments rose by 14% to €2 billion with a total of 130 new investments.
These included 55 new research and development investments, a 22% increase on the 2007 figure. Of the 130 new investments last year, 35 investments came from new IDA clients, while 95 came from existing clients.
Key investments in 2008 included Coca Cola's €220m investment in a new flavour manufacturing facility in Co Wexford and Microsemi's expansion at its manufacturing facility in Co Clare with the creation of 315 jobs. Shannon-based Zimmer created 250 new jobs in a €50m investment, while Facebook also announced the creation of its international headquarters in Dublin.
Commenting on the report, Barry O'Leary said that competitiveness is a key factor in attracting FDI.
'Positive improvements in cost competitiveness have taken place in many areas including land, building, rent, energy and labour costs. A strong focus on further improvements in overall competitiveness will position Ireland to take advantage of the eventual global economic recovery,' Mr O'Leary stated.
He said the outlook for further foreign direct investment remains positive. In the first six months of the year, the IDA saw promised investments from a number of leading international companies, including €18m from Hewlett Packard which will create 500 new jobs. IT giant IBM announced a €25m R&D investment and the creation of 100 new jobs, while Big Fish Games announced the establishment of its European headquarters in Cork and 100 new jobs.
Last month Boston Scientific announced one of the largest R&D investments by a foreign director investor - €91m - for its Galway plant. This will create 45 new jobs.
