Aviva may be about to cut Irish staff, but it's very much the exception

The insurance sector in Ireland not only survived, but excelled through the financial crisis. International firms were attracted to the country by its favourable corporate tax rate and access to high quality, and cheaper, talent. Those companies that arrived inevitably looked locally to build their headcount. But are cracks finally beginning to show?

One company to centralise its European operation in Ireland, to much fanfare, in 2009 was Aviva. Now, as it moves its holding company back to London, anywhere between 300-500 jobs are believed to be under threat.

Aviva hasn't confirmed the cuts yet, but current speculation suggests that its jobs in its general insurance European 'centre of excellence' operation could be particularly badly hit. If that's the case, it's tempting to assume that Ireland's appeal as a location for pan-European insurance operations was short-lived.

Specialist insurance recruiters insist this isn't the case, however.

"We're working with a number of large insurance firms looking to base their pan-European business in Ireland," says Paul Walsh, CEO of actuarial and insurance recruiters Acumen Resources. "These are significant operations and a lot of jobs are being created."

What's more, international insurance and reinsurance firms already in Ireland continue to hire. According to recruitment sources, Axa, Mitsui Sumitomo, RSA and Zurich, among others, continue to offer opportunities.

"Risk, compliance and audit roles remain in demand, largely thanks to Solvency II requirements, but we're also working on underwriting and claims positions," says Paul Cotter, director of recruiters Cotter Personnel. "Most of these jobs come from relatively new entrants to Ireland."

Even those insurance firms not expanding are finding themselves having to indulge in more replacement hiring than they would like, suggests Walsh.

"Increasingly, actuaries are taking contract roles around Solvency II in the UK, where 1,000 a day is not unusual for experienced people, which means companies in Ireland have plenty of gaps to fill," he says.