The Department of Enterprise, Tourism and Employment published a detailed study – ‘Ireland’s Inactive Population and the Labour Market’ – on 7 November 2025, warning that chronic skills shortages will persist unless policymakers tap the country’s 1.5 million inactive residents *and* maintain strong levels of economic immigration.
Using CSO Labour Force Survey data, the report shows the prime-age inactivity rate (25-54) at 18 %, with caring responsibilities and health issues the main barriers. Even if activation policies succeed, demographic ageing means the domestic talent pool will not grow fast enough, particularly in ICT, life sciences and construction.
![Government paper flags inward migration as key lever to plug Ireland’s shrinking workforce]()
The study explicitly calls for "continuing to facilitate inward migration" alongside retraining and flexible-work measures. It cites evidence that non-EU Critical Skills Permit holders have filled more than 40 % of new tech vacancies since 2023 and argues that streamlined visa processing must remain a top priority if Ireland is to hit its 2040 housing and digital-transition targets.
For global mobility managers the paper strengthens the business case for relocating talent to Ireland: it signals that work-permit quotas are unlikely to tighten in the near term and that additional supports—such as faster family reunification and portable social-protection entitlements—may be introduced to attract overseas professionals. Employers are advised to engage with forthcoming consultations on childcare and housing reforms, both highlighted as determinants of Ireland’s competitiveness for mobile talent.
The report arrives ahead of the National Skills Summit in December, where ministers are expected to unveil a ‘One-Stop Talent Permit’ combining employment, residence and digital-ID credentials.
Using CSO Labour Force Survey data, the report shows the prime-age inactivity rate (25-54) at 18 %, with caring responsibilities and health issues the main barriers. Even if activation policies succeed, demographic ageing means the domestic talent pool will not grow fast enough, particularly in ICT, life sciences and construction.
The study explicitly calls for "continuing to facilitate inward migration" alongside retraining and flexible-work measures. It cites evidence that non-EU Critical Skills Permit holders have filled more than 40 % of new tech vacancies since 2023 and argues that streamlined visa processing must remain a top priority if Ireland is to hit its 2040 housing and digital-transition targets.
For global mobility managers the paper strengthens the business case for relocating talent to Ireland: it signals that work-permit quotas are unlikely to tighten in the near term and that additional supports—such as faster family reunification and portable social-protection entitlements—may be introduced to attract overseas professionals. Employers are advised to engage with forthcoming consultations on childcare and housing reforms, both highlighted as determinants of Ireland’s competitiveness for mobile talent.
The report arrives ahead of the National Skills Summit in December, where ministers are expected to unveil a ‘One-Stop Talent Permit’ combining employment, residence and digital-ID credentials.
