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No ‘large’ practices left in Ireland

A new survey has found that 60% of employees in architecture firms in the Republic have been let go since 2007, and that only 16% of companies have not shed any staff in the recession

The Architecture in Ireland Employment Report from Hays also found that 70% of companies cannot get access to finance from the banks, even though they have projects in the pipeline.

Approximately 40 architect practices in Dublin and 16 in the regions cut back their staff numbers while 60% of all practices have let go more than 40% of their staff. The survey found that the redundancy rate in Dublin at 61% is higher than in the rest of the country as a whole where lay offs averaged 55%. Out of the 178 firms surveyed, none remain in the “large” firm size category and 88% of firms now fall under the “small” category. Only one firm surveyed had grown in this period and that was from two staff to just three.

No medium or large firm has emerged unscathed with all firms in these categories making redundancies. It found that 16% of surveyed respondents (28 practices) have not let go any of their staff. However, of these, 12 are sole practitioners and of the remaining 16, only one has more than four employees.

According to the survey, it was also quite apparent that the closure rate among Irish practices is very high. Although only eight of the 178 businesses surveyed confirmed they had closed operations, a further 130 practices were “number unobtainable”. Commenting on the results, a spokesperson for Hays said: “In addition to the widespread closures, the impact on surviving firms has been massive; one practice lost 168 staff out of its workforce of 180. Architects play a key role in the development of the state and of the infrastructure of the state. They practice on a global stage and take 'brand Ireland' to the world. If 60% of them are now out of work, who is going to design the buildings of the future?”