Employment at Dublin’s IFSC increases 6.7% to 35,698

Employment in Dublin's International Financial Services Centre (IFSC) increased by 6.7 per cent to 35,698 in 2012, according to a new study published by Financial Services Ireland, an arm of employers group Ibec.

The study, which has been provided to The Irish Times , found that employment in the IFSC has risen sharply since 2009 when it stood at 29,704. The growth has been driven by strong increases in aviation, asset management, corporate treasury, fund administration, life insurance, non-life insurance, payments and technology sectors.

The biggest jump in employee numbers was recorded in fund administration, which increased to 8,255 from 6,816 in 2009.

Not surprisingly, banking recorded the biggest decline, with employment levels dropping to 5,936 in 2012 from 6,308 four years earlier. The numbers employed in shared services and “other” activities also fell marginally.

The corporate tax take from IFSC companies is estimated at about €1 billion for 2012. This was 3.3 per cent higher than 2009 but behind the peak of €1.6 billion recorded in 2005/2006.

Payroll costs among the IFSC companies amounted to €2.3 billion in 2012. This included estimated PAYE of €674 million and employer PRSI of €246 million.

The study also found that 10,000 IFSC workers are now located outside its traditional base in Dublin. Big ticket employers outside Dublin include Cisco in Cork, Northern Trust in Limerick and Pramerica in Donegal.

The study also shows that average salaries remain strong among IFSC employees at about €67,000.

'Unrecognisable'
Commenting on the results of the study, Patrick Manley, the Dublin-based chief executive of insurer Zurich's Europe, Middle East and Africa business and FSI president, said: "Ireland's international financial services sector has come through the [global financial] crisis reasonably well, and the overall job growth figures show that. But there has been a step change in the kind of roles within the sector. Today's IFSC is unrecognisable from what it was five years ago."

In July 2011 the Government set out an ambitious goal of creating 10,000 jobs in the IFSC in a strategy document.

FSI said a net 6,000 jobs have been created since 2010.