Manufacturing activity grew in August at its fastest rate in six months, boosted by production increases and a faster rise in employment numbers, a new survey showed today.
The AIB S&P Global manufacturing Purchasing Managers' Index (PMI) edged up to 50.4 in August from 50.1 in July. A figure above 50 indicates growth in activity in the sector.
The survey showed an increase in production volumes was accompanied by a fourth consecutive monthly growth in staff numbers, with the rate of job creation accelerating to the fastest level for 12 months.
AIB's chief economist David McNamara said staff hiring was a bright spot attributable to the starting of new projects and efforts to boost business capacity.
But he cautioned that demand conditions were still relatively subdued, with manufacturers recording a modest decline in total new work during August.
"Survey respondents mostly commented on subdued demand and lacklustre economic conditions, while some also noted a headwind from customer destocking," he said.
