Positive work culture more effective than competitive salary for attracting and retaining staff – Dublin Chamber survey

+ Three in four firms report wage demands as their greatest driver increasing business costs 

+ Wide range of critical skills deficits flagged 

Wednesday 19th of July 2023: Dublin Chamber’s latest business outlook report has flagged a wide-ranging skills deficit prevalent among Dublin firms, with one in two Dublin businesses reporting deficits in industry-specific skills, one-third of firms reporting deficits in management skills, and one in four reporting communication skills shortages. The scarcity is also notable in green skills and cyber security.  

Aebhric McGibney, Director of Public and International Affairs said “Dublin firms repeatedly report their frustration in accessing pools of appropriately skilled labour and the cost involved in doing so, with three in four Dublin businesses noting wage demands as their greatest driver for increasing business costs over the past twelve months. 

Amidst the turbulence of the current market, we asked Dublin firms for their most effective strategies in retaining their current staff and how they are managing, if at all, to successfully attract new employees with the right skill sets. Flexible and remote working was identified by four in five firms as the most effective means of attracting and retaining staff and notably, positive work culture ranked second, surpassing competitive salaries.

That a positive work culture has become more attractive to both prospective and current employees than a competitive salary, indicates a seismic shift in employee priorities. This aligns with emerging trends observed over the past year within our surveys, where employers have increasingly prioritised employee health and well-being over a broad range of metrics. These factors have become paramount considerations for employees when selecting their place of employment, and as has become evident in our surveys, employers are taking heed. However, it is important to note that successful tactics, no matter how effective, may become redundant if the current labour market continues to tighten. The government must actively support the expansion of the labour market to ensure sustained growth for businesses.”

-ENDS-

Note to editor: Dublin Chamber’s Q2 2023 Business Outlook Survey is based on the responses of Dublin Chamber members spread across the Greater Dublin Area. The ‘Round Up’ section of the final report contains critical insights into live issues affecting Dublin businesses as detailed within recent focus groups with Dublin Chamber members. The report also includes an Expectations Index that Dublin Chamber performs across key metrics each quarter to predict trends that may appear within ensuing business quarters.

For further information, please contact:

Órla Mannion | Public Affairs Manager | Dublin Chamber | orla@dublinchamber.ie

About Dublin Chamber: Dublin Chamber is Ireland’s largest chamber of commerce with over 1,300 member companies. It is the most representative and broadly-based business group in the Greater Dublin Area, providing representation and networking services. Its policy work focuses on developing the Dublin region’s infrastructure & transport, promoting competitiveness, and improving local governance. Dublin Chamber is also one of the oldest chambers of commerce in the world, tracing its origins back to 1782.