Access to skilled labour is putting pressure on firms although the business landscape remains broadly positive according to InterTrade Ireland.
The company's latest All-Island Business Monitor revealed that a third of firms are stable, or in growth mode.
One in three firms are struggling to find the right skills for their business.
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Over half (58%) are experiencing long term vacancies while nearly a quarter (22%) are dealing with short term skills gaps.
When asked about addressing any skills gaps, close to a third of businesses with more than three staff said they are embracing new technologies.
