Irish employers are struggling with a skills shortage

More than half (52%) of Irish HR professionals flag finding candidates with the right technical skills as their biggest hiring challenge.

Irish employers are struggling to find qualified talent with three-quarters of recruiters struggling to find qualified talent in the past year.

According to new research published by LinkedIn, the primary barrier identified by the research was finding candidates with the right technical skills, flagged by over half (52%) of HR professionals.

“The tight labour market in Ireland continues to present challenges for employers, especially when it comes to finding candidates with the right skills”

Despite ongoing challenges, optimism in the job market remains, with two thirds (66%) of recruiters planning to hire more in 2025 compared to last year. However, this increased hiring demand comes with its own hurdles.

The vast majority (70%) of HR professionals report spending more time proactively sourcing candidates due to a lack of qualified applicants, with only 40% of applications on average meeting all preferred qualifications.

In addition to the challenge, just under three quarters (73%) of recruiters believe that many Irish professionals are leaving full-time education without the essential soft skills they need in the modern workplace.

In response to these challenges, almost four in five (76%) of Irish HR professionals stated that helping employees to upskill would be a top priority for their organisation in 2025. The majority (71%) of talent acquisition teams also believe that their role has evolved, having taken on a broader range of strategic responsibilities like internal mobility and learning and development.

How AI is changing the future of work

The world of work is being rapidly reshaped by AI, with the skills needed for jobs predicted to change by 70% by 2030. It comes as no surprise that upskilling employees on AI is a key focus for many HR professionals this year. Just over two-thirds (68%) of HR professionals in Ireland have identified upskilling on AI as a key priority.

AI-powered tools are also making an impact on hiring processes. Just over seven in ten (71%) recruiters say use of AI in the hiring process has helped them to find candidates faster, while 68% report reduced hiring costs due to increased efficiency.

The research also uncovered a disconnect in candidate experience. Nearly half (49%) of all Irish professionals surveyed have experienced not hearing back from a company after applying for a position. At the same time, 7 in 10 (72%) recruiters admitted that they were unable to individually respond to every application due to the volume of applicants.

This communication gap risks damaging employer reputation, with 69% of HR professionals acknowledging that failing to respond could harm their company’s image. More than three-quarters (76%) flagged the need for additional tools and resources to improve candidate communication.

“The tight labour market in Ireland continues to present challenges for employers, especially when it comes to finding candidates with the right skills,” LinkedIn head of Ireland Sue Duke.

“However, we’re seeing a positive shift with companies focusing on upskilling their teams as a solution to close these gaps. AI is rapidly transforming the workplace, and with it comes both challenges and opportunities.

“At LinkedIn, we’re committed to supporting both businesses and professionals in this shift, with free LinkedIn Learning courses available to help HR teams and jobseekers stay ahead of workplace changes,” Duke said.

LinkedIn has opened up a number of free online learning courses to help HR teams upskill on AI, and to help job seekers find their next opportunity.

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