The latest CSO Labour Force Survey shows Ireland's employment recovery has been notably quicker than that of the UK and other eurozones.
The figures show the economy added 229,000 jobs in 2021, an increase of 10%, putting employment ahead of pre-pandemic levels,
The Covid-adjusted unemployment rate fell from 7.8% to 7% in February, but economists have flagged the number of people in long-term unemployment as an area of concern.
An estimated 44,300 people had been out of work for more than a year last month, up 20% year-on-year, with those in long-term unemployment representing a third of those classed as unemployed by the Central Statistics Office (CSO).
By traditional measures, the number of people in unemployment declined from 137,100 to 135,100 in February, a decline of 45,000 from 180,100 in February 2021, for a seasonally-adjusted unemployment rate of 5.2% -- 4.9% for males and 5.4% for females.
The seasonally-adjusted unemployment rate for people aged 15-24 was 12.6% and 3.9% for people aged 25-74. Accounting for those on the Pandemic Unemployment Payment (PUP), the Covid-adjusted unemployment rate was 7% overall, 7.2% for males, 6.8% for females, 12.7% for those aged 15-24, and 6.1% for those aged 25-74.
The latest update from the Department of Social Protection showed there were some 67,400 people in receipt of PUP in early February.
Commenting on the figures, Indeed economist Jack Kennedy said the jobs environment was "broadly positive" while highlighting long-term unemployment.
"With the economy performing strongly, this segment is an important area for Government to focus on for training and reskilling. The Action Plan for Apprenticeships is one helpful policy lever, aiming to grow the number of new apprentice registrations to 10,000 per year by 2025. Equipping people with appropriate skills in segments of the economy experiencing labour shortages is valuable both for employers and potential apprentices," he said.
Elsewhere, the Department of Enterprise, Trade and Employment's Annual Employment Survey shows that employment at client companies of government agencies, Enterprise Ireland, IDA Ireland and Údarás na Galetachta rose 6.3% to a record 491,638.
Employment in foreign direct investment firms rose 6.2% or by 16,621 jobs while 12,580 jobs (+6.5%) were added at Irish-owned firms, with ICT services companies, which make up 38.8% of FDI firms in Ireland, displaying the fastest employment growth.
Among Irish owned firms the construction, energy and waste sector increased its share of employment from 6.9% to 10% between last year, with Tánaiste Leo Varadkar paying tribute to the "fortitude" of businesses and the "dedication and flexibility" of state agencies.
"While these are really positive results, I am of course aware that they don’t capture the full story and that the pandemic has been devastating for many sectors and indeed many are still really struggling," he added.
"Government is on hand to help those that need it. Our agencies are often the first port of call for that help, and I encourage anyone who needs some advice to reach out and see what assistance is available."
