Latest news with #NiamhSmyth
RTÉ News
4 days ago
- Business
- RTÉ News
Is the big AI job displacement already under way?
The impact of artificial intelligence (AI) on employment came into sharp focus this week. On Tuesday, the Minister of State with responsibility for AI, Niamh Smyth, told the Oireachtas Committee on Artificial Intelligence that there will be a certain amount of job displacement because of AI. Also this week, the latest 'Employment Monitor' from recruitment firm Morgan McKinley Ireland found notable reductions in graduate hiring by major firms in the accountancy and finance sectors because of the adoption of AI. And on Thursday, AIB announced a major AI rollout for staff in conjunction with Microsoft Ireland, sparking concerns from trade unions. Graduate hiring Morgan McKinley Ireland's Employment Monitor for the second quarter of the year was published on Thursday. The recruitment firm said that the standout development of the quarter was the significant impact of AI and automation, particularly within the accountancy and finance sectors. "The notable reduction in graduate hiring by major firms, driven by AI capabilities, highlights potential challenges ahead," the report found. "Companies are increasingly leveraging AI capabilities to automate routine tasks such as accounts payable, accounts receivable, credit control, and payroll." "A notable trend driven by automation is the reduction in graduate-level hiring, raising concerns about potential shortages of experienced mid-level professionals, which could impact future business operations and growth," according to Morgan McKinley. The graduates of today may well end up being the key staff members, middle-managers and executives of tomorrow. It means there is a danger that companies could be depriving themselves of future talent pipelines by reducing graduate hiring. "We have certainly learned from the crash of 2008 that it did have a knock-on effect and impact on the workforce four to five years later," said Trayc Keevans, Global Director, Morgan McKinley Ireland. "We are advising caution at this point that a reduction in graduate numbers, albeit to offset against certain advancements that AI may be giving by eradicating some early tasks, will impact that middle management and oversight level that is required to pipeline for future talent," Ms Keevans said. Many companies have decided that entry-level, repetitive tasks that were traditionally done by graduates, can now be done by AI tools. But performing these so-called 'menial' tasks are often a way for new recruits to learn their trade and gain experience from a ground-up approach. "Graduates, particularly in the areas of accounting and finance, that come through professional service firms, got experience previously in things like budget reconciliation, document reviews, and first past audit checks," Ms Keevans said. "But these types of tasks can now be done by AI." "While that redefining of graduate roles is happening, there is caution amongst employers to hire the same volume of graduates that they would otherwise have." "We expect and hope this is a short-term view while employers are catching up with the redesign of these graduate roles," she added. Graduates will also need skills to control and supervise the AI models that their employers are increasingly relying on. To do that, they will need to understand the tasks that are being performed by the technology. "It is really about making sure they get sufficient exposure and experience to develop oversight skills and to ensure that, rather than competing with AI in the future, they will be working with it and governing it efficiently and ethically," Ms Keevans said. According to the Morgan McKinley Employment Monitor, the rise of AI is not just impacting the jobs market in a negative way, it is also leading to increased hiring for roles such as data engineers. AI rollout at AIB AIB announced a new artificial intelligence rollout for staff in conjunction with Microsoft Ireland on Thursday. The bank said the new tools will reduce time spent on repetitive tasks, freeing up employees for higher-value work. The plan will involve the widespread deployment of Microsoft 365 Copilot, embedding AI into everyday tools like Outlook, Word, Excel, Teams, and PowerPoint. The Financial Services Union (FSU) expressed concerns that AIB made its big AI announcement before a formal agreement had been finalised with unions. "We had submitted a draft agreement that we wished to conclude with the bank on the adoption of AI, as we believe that is the best way forward to manage change of this potential scale," General Secretary of the FSU John O'Connell said. "We would strongly wish that we had an agreement before the announcement was made but we have ongoing engagement with the bank, and we are confident we will reach agreement on this." "I think the big worry is displacement and potential job losses but while AI is a disruptor, it is also an enabler." "There is potential, but that potential has to be exploited with a laser-like focus in terms of reskilling people who are impacted," Mr O'Connell added. AIB has insisted that staff will be offered a comprehensive package of support and training to ensure they get the most out of the new AI tools. The bank also said it has been engaging with unions on its AI rollout and will continue to do so. Last month, the Chief Executive of AIB Colin Hunt took part in a panel discussion at a Bloomberg event in Dublin. Asked what impact AI will have on staffing numbers at the bank over the next five years, Mr Hunt said it may lead to a small reduction in net headcount. "I do think that there are certain manual processes that we do now that will be done by AI in the future, and probably net headcount will be broadly stable with a slight downward bias maybe," Mr Hunt said. A recent survey by the FSU and the think tank TASC revealed widespread concern among staff in the financial services sector over the possible effects of AI. The research found that 88% of respondents believe AI will lead to job displacement, while 60% report feeling less secure in their roles than they did five years ago. The survey findings were raised by members of the Oireachtas AI Committee this week during an appearance by Ms Smyth. "We have to acknowledge that there will be a certain amount of displacement," she said. "But I would hope that with the establishment of an AI Observatory, that would give us clear data and analysis to see where this is going, where the jobs are being impacted and how we can mitigate against that," she added. Layoffs in the tech sector Earlier this month, Microsoft announced plans to cut 9,000 jobs globally following on from 6,000 layoffs announced in May, and 1,000 redundancies in January. The cuts come amid a major drive towards AI at the tech giant. "The company has invested billions in AI infrastructure, and CEO Satya Nadella recently noted that up to 30% of Microsoft's code is now written by AI tools," according to Fortune Magazine. "While Microsoft has not directly attributed the layoffs to AI replacing human workers, the timing and focus of the cuts suggest a shift toward a leaner, more automated organisation." Microsoft employs more than 4,000 people in Ireland across software development, engineering, data centres, finance, operations, and sales and marketing services. It also owns LinkedIn, which employs more than 2,000 people in Ireland, bringing Microsoft's total Irish-based headcount to over 6,000 people. The company has not said how many Irish-based roles will be cut as part of these latest layoffs, but the Department of Enterprise confirmed at the time of the announcement that it had received a collective redundancy notification from Microsoft. A recent Workplace Relations Commission (WRC) hearing was told that 150 job cuts announced last year for multilingual support staff at TikTok's Irish office were driven by major advancements in AI. A barrister for TikTok told the WRC that the business rationale for the layoffs was based on "vastly improving" AI technology "taking on a bigger role" and "reducing the number of employees required, particularly language skills". Which jobs will be most impacted by AI? Last year the Government produced a series of reports entitled 'Artificial Intelligence: Friend or Foe'. The research focussing on the labour market impacts found that around 30% of workers are employed in roles that are at risk of being replaced by AI. The report concluded that people working in the financial and insurance sector, and the information and communication sector are the most exposed. It found that at-risk jobs include laboratory technicians, accountants, telephone salespeople, and IT operations technicians. The agriculture, forestry and fishing sector was found to be the least exposed. Women appear to be relatively more exposed to AI than men, arising from the fact more women are employed in administrative or customer occupations. Men, on the other hand, are more likely to be employed in agricultural or construction-related roles. According to the study, Ireland's labour market is marginally more exposed to AI than the advanced economy average at 63% vs 60%. The research also found that 33% of employment is in occupations where AI is likely to complement labour and boost productivity. As companies embrace artificial intelligence, most are currently focussed on the tasks that AI can replace rather than the people. But what happens when bosses start to realise that the people who used to perform those tasks are no longer needed? It is a movement that has clearly already begun, as evidenced by Thursday's employment report highlighting the notable fall in graduate hiring in accounting and finance. There are signs of it too across big tech, an industry that Ireland has become so reliant on for employment. It was AIB that made headlines this week with its big AI rollout which prompted trade union worries. We can expect a lot of similar announcements, and expressions of concern, over the coming months and years as AI continues to transform workplaces.
Extra.ie
6 days ago
- Business
- Extra.ie
Meat and dairy prices surge amid claims of 'price-gouging'
Meat and dairy prices soared in the last year, latest Central Statistics Office figures show. A carton of full-fat milk has increased by 27c (from €2.20 to €2.47), while cheese has gone up from €10.39 per kilogram to €11.34. A pound of butter is also adding extra to Irish grocery bills, costing €3.73 just 12 months ago but increasing to €4.83 this year. Meat and dairy prices soared in the last year, latest Central Statistics Office figures show. Pic: Shutterstock The CSO also recorded a hefty rise in the price of meat. Customers face a 20% increase in the price of a kilo of roasting beef and a 19% rise in the cost of buying a leg of lamb. The report also revealed that the price of a pint of stout at a pub had risen by 27 cents, now costing €6.07, with a pint of lager costing €6.49, up from €6.20 last year. The CSO released the Consumer Price Index (CPI) for the month of June 2025. This revealed that the average price of most groceries is on the rise for Irish consumers. A carton of full-fat milk has increased by 27c (from €2.20 to €2.47), while cheese has gone up from €10.39 per kilogram to €11.34. Pic: Shutterstock The report found that prices for all consumer goods and services had risen by 1.8% compared with June 2024. Making up the bulk of this rise was the Food and Non-Alcoholic Beverages sector which saw prices go up by 4.6% since last year. This means the rate at which food prices are inflating is almost double the rate of inflation for other goods and services across the economy. The CSO highlighted changes in the national average price for selected groceries from June of 2024. This saw a rise in prices for most common groceries found in Irish supermarkets. A pound of butter is also adding extra to Irish grocery bills, costing €3.73 just 12 months ago but increasing to €4.83 this year. Pic: Getty The report did outline that some goods, such as fruits and vegetables, had remained unchanged and that the price of potatoes had actually decreased by 29 cents per 2.5 kilograms. The CSO figures come amid concerns among opposition TDs that major super- Enhancing existing laws market chains are artificially raising their prices. Social Democrats TD Jennifer Whitmore. Pic: Fran Veale Social Democrats TD Jennifer Whitmore put forward a motion on Wednesday that would see any supermarket with an annual turnover of €10million or more required to publish its audited financial accounts. This was in response to what Ms Whitmore called clear evidence of 'price gouging'. Her party colleague, Gary Gannon, echoed her views, saying Irish families were being asked to choose 'between eating and heating'. Labour TD Ged Nash raised similar concerns, stating that 'if it walks, talks and acts like price-gouging, it very may well be'. Minister of State at the Department of Enterprise, Trade and Employment Niamh Smyth TD at Government Buildings. Pic: Sam Boal/Collins Photos The Minister of State at the Department of Enterprise, Niamh Smyth, responded to the criticisms saying the Government 'acknowledges the concerns regarding rising costs'. The Fianna Fáil TD said the Government is considering enhancing existing laws to increase fines and make the State's consumer watchdog more 'robust'. The only sectors where prices were found to have fallen in the CPI were the transport sector, which is down by 2%, and Clothing and Footwear, which has fallen by 2.3%. CSO figures also showed a decrease in the average price of petrol by nine cent per litre while a litre of diesel had dropped from €1.71 to €1.65.
Irish Independent
09-07-2025
- Business
- Irish Independent
Coalition won't force supermarkets to publish profits as opposition says Irish public being treated as ‘cash cow'
The coalition is coming over increasing political pressure over the cost-of-living with the opposition focusing in particular on the cost of basic supermarket staples which are running up to €3,000 a year. The Minister or State at the Department of Enterprise, Niamh Smyth, said the Government is examining how it can give the Consumer Protection Commission more powers. She was responding to a Dáil motion tabled by the Social Democrats calling for supermarkets with an annual turnover of €10m or more to have to publish their full audited financial accounts, and for fines to be imposed on those that do not. The party's TD for Wicklow, Jennifer Whitmore, who said the cost of living is 'out of control' and nowhere is that more evident than on the supermarket shelves. 'The scale and the speed at which prices are increasing is astronomical and there is no sign of it slowing down,' she said. 'In a few short years, the costs for families has increased by €3,000 per year. Grocery costs are now skyrocketing at three times the rate of inflation,' she said. 'A person can now spend €50 on groceries and carry them out in their hands," she said adding that this is 'not a niche issue' and affects middle-class families as well as poorer ones. Minister Smyth said the Government could not support the proposal for supermarkets to publish profits, because it does not align with EU laws. But she said the Government acknowledges the concerns of families around rising costs and accepts 'food inflation has had a tangible impact.' She said: 'We are progressing legislative reforms to enhance the CCPC's enforcement powers, including the ability to impose stronger sanctions for breaches of consumer protection law.' 'This will ensure that anti-consumer or exploitative practices can be tackled more effectively and with greater deterrent effect. 'It is intended to introduce turnover-based fines for serious breaches of consumer law, ensuring that penalties are proportionate to the scale of the offending business.' ADVERTISEMENT The Labour Party accused the Social Democrats of introducing a 'copy and paste' version of a Bill that it previously tabled. Its spokesperson on finance, Ged Nash, said the grocery market in Ireland is worth at least €8 billion a year but there is no transparency around profits. 'Many of us have long suspected that consumers in Ireland are being gouged by large supermarket chains that use their operations as a cash cow,' he said. 'However, without full transparency on profit levels, it is very difficult to prove this. It is also very difficult for the consumer regulator, the Competition and Consumer Protection Commission, to do anything other than issue bland statements because, in reality, it has no teeth.'
Irish Times
09-07-2025
- Business
- Irish Times
Consumers being ‘gouged' by big supermarkets where stock prices ‘going through roof,' Dáil told
The Government will change the law to enhance the enforcement powers of the Competition and Consumer Protection Commission (CCPC) in dealing with supermarket retailers, the Dáil has heard. Minister of State for Enterprise Niamh Smyth said 'we are progressing legislative reforms' to give the CCPC 'the ability to impose stronger sanctions for breaches of consumer protection law' to tackle anti-consumer exploitative practices. However she rejected a Social Democrats call for mandatory financial reporting for all major retailers operating in Ireland with an annual turnover over €10 million. Ms Smyth said the threshold 'would capture a significant number of companies' currently classified as small enterprises and it would be a 'disproportionate regulatory burden'. And attempting to impose 'additional or divergent requirements' on international retailers 'would create conflict within the EU internal market and expose the State to legal challenges'. The Minister was responding to a Social Democrats private member's motion calling for mandatory reporting and full transparency in profits and costs. Social Democrats TD Jennifer Whitmore said consumers in Ireland are 'being gouged by large supermarket chains who use their operations as a cash cow'. Since 2021 groceries had risen in price by 36 per cent, costing an additional €3,000 per year, the third highest in the EU. She said the Government attempted to regulate the supermarkets in 2023 when Minister of State Neale Richmond convened a 'supermarket summit'. He gave them six weeks to bring prices down but nothing changed, she said. 'The supermarket summit was a complete capitulation by Government. It was a talking shop,' and 'an abject failure'. Ms Whitmore said they wanted Government to let the regulator 'to compel the disclosure of information when carrying out marketing studies. This is what happens in other countries like the UK, so why isn't it here.' 'Not only is there complete lack of transparency around supermarket profits. It's also completely unclear how much profit goes to producers, processors and retailers in the food chain. 'We urgently need clarity on the way in which margins are spread out because as it stands it appears the lion's share of the profits often go to processors or big retailers.' Ms Whitmore said 'we want you to grant the agri-food regulator the powers it needs to compel the provision of necessary price and market information from businesses in the agri–supply chain.' Her party colleague Rory Hearne said one supermarket customer told him the price of a pack of six rashers increase by 75 cent 'in one jump' and the number of rashers had been reduced to five resulting in a '66 per cent increase on a per rasher basis. This is shrinkflation, which is covering up the gougeflation done by supermarkets.' Sinn Féin finance spokesman Pearse Doherty said supermarket stock prices 'have been going through the roof'. He said 'Tesco stock is up 30 per cent in the last year' while United Value Foods, owner of SuperValu saw their stock price up by 60 per cent in the last year. United Value Foods owns the Supervalu chain in the US. It is not related to the Musgrave-owned Supervalu in Ireland. Labour finance spokesman Ged Nash called on the Government to enact legislation his party published in 2023 to oblige international supermarkets to publish their profits. He also said that instead of using more than €700 million to cut the rate of VAT on hospitality in Budget 2026, the Government 'should use these hundreds of millions to reduce child poverty with a targeted second tier of child benefit, and other measures to provide income supports to households'.
RTÉ News
09-07-2025
- Business
- RTÉ News
Govt considering change to laws to address alleged 'price gouging' by supermarkets
Government is considering "enhancing" existing laws to increase fines and make the State's consumer watchdog more "robust" in a bid to address alleged "price gouging" by supermarkets. Minister of State at the Department of Enterprise Niamh Smyth outlined the plans in response to Opposition party concerns over how the average annual cost of groceries for a household has risen by €3,000 in a year. Speaking during a Social Democrats Dáil motion which is calling on any supermarket with an annual turnover of €10 million or more to publish full audited financial accounts, and for fines to be introduced for those that do not, party TD Jennifer Whitmore said there is clear evidence of "price gouging" taking place in the sector. Her view was backed by party colleague Gary Gannon, who said families across Ireland are having to choose "between eating and heating", and fellow Social Democrats TD Rory Hearne, who said food banks have confirmed the biggest growth in people attending are those in "working families". Sinn Féin's Pearse Doherty criticised the Government for what he said is a lack of action on the issue, saying Fine Gael minister Neale Richmond promised action on the issue while minister for enterprise in 2023, without significant changes taking place. And similar concerns were raised by Labour TD Ged Nash, who said "if it walks, talks and acts like price gouging, it very well may be", before saying any plans to take action without ensuring steps are taken is the equivalent of the Father Ted reference "can anything be said for another mass?". Responding to the criticism, Ms Smyth said she and Government "acknowledges the concerns raised regarding rising costs" and accepted "food inflation has had a tangible impact". As such, the minister said Government is considering "enhancing" existing laws to increase fines and make the State's consumer watchdog the Competition and Consumer Protection Commission more "robust". However, the minister also said that at this stage the Government cannot support the Social Democrats motion, in part because the €10m annual turnover threshold plan does not align with existing EU rules. She said the CCPC has "advised officials that existing powers are sufficient to analyse markets, request information and take action", and that this has taken place during "high-profile investigations" in recent years.
