The number employed in Údarás na Gaeltachta client companies fell by 104 despite the creation of 734 new jobs in 2011.
The Gaeltacht employment authority's report for 2011 shows that the total number employed in client companies fell to 7,500, 7,000 full-time and 500 part-time.
Údarás na Gaeltachta said that medical devices, audio visual and digital media, financial services and niche manufacturing all recorded sectoral increases in employment in 2011.
Údarás na Gaeltachta said that the rate of job losses had slowed and Liam Ó Cuinneagaín, Chairman of Bord an Údaráis and Steve Ó Cúaláin Chief Executive said that this was as a result of the authority making every effort to support existing businesses to retain their level of employment.
An tÚdarás granted a total new investment of €21m in new projects in 2011. It hopes that the investment will result in the creation of up to 400 new jobs.
The annual report quotes Forfás research conducted in 2011 which shows that Údarás client companies sold €750m worth of goods of total in 2010. €399m of that total was exported, an increase of 13% on the previous year. €20m was spent by 40% of client companies on research and development.