Jobs Boosts for Dublin
The Dublin labour market has maintained momentum in recent quarters, as signified by its low unemployment rate. Recent developments in the market will contribute further to this upswing, most notably Microsoft’s announcement of its creation of 550 new jobs in the Capital over the next 3-4 years. The new engineering and research and development jobs will be focused on developing artificial intelligence (AI) and cybersecurity products and services. While the roles will be added over the course of three to four years, 120 are open for applications from November. Turner & Townsend (construction services), SiriusXM (audio entertainment), Chargebee (Revenue Growth Management platform) and CalypsoAI (cybersecurity) are just some other firms which have recently announced plans to establish or expand their workforces in the Capital.
Remote Working Trends
Dublin City Council has recently completed a research report on the implications of remote working trends on economic activity in the city. The report, which was compiled by CBRE Research and will help inform a strategy on vacancy and dereliction for the city centre, assessed current and future trends in offices, retail, hospitality, and the future of real estate. Key lessons included:
- Offices: companies are reporting a 50% office attendance rate on average across the working week; this is down from 65-70% prior to the pandemic. On Mondays, office attendance was just 35%, while on Fridays it was 29%. The peak day for attendance was Wednesday at 61%.
- Retail & Hospitality: Nearly 50% of retailers reported that footfall has been lower by 21–40% in city centre stores since the pandemic. Almost half of respondents selected Friday as the day on which they had seen the most notable decline. In city centre pubs, Friday lunchtime trade (previously the busiest lunch day of the week) is trending 20% lower than on Thursdays, post-pandemic.
The report concluded that “an increasingly digitalised world will lead to a broader mix of buildings within the confines of the city over the next 10 to 15 years“.
Commercial Property Developments
The Dublin office market, which has experienced upheaval in recent years, has had some notable developments in H2 2024. Software company, Workday, is to lease 475,000 sq ft of office space at College Square in Dublin 2 in what is, according to the Irish Times, “the largest single office letting to have taken place in the European office market since the onset of the Covid-19 pandemic in early 2020”. Professional services firm, Deloitte, has signed a lease for a new headquarters in Dublin 2. It is understood that the property on Adelaide Road, which is currently under construction, will offer about 160,000sq ft of space and over 1,400 desks. These deals follow other significant leases executed this year by BNY, Addleshaw Goddard, and EY. Despite such developments, vacancy rates – shown in the chart – remain at high levels in the Capital.
Dublin Office Vacancy Rates
Director - Consulting, Grant Thornton
