He stated the labour market is bearing the force of the economic shock of the coronavirus break out.
The nation will go from a state of near complete work to a peak joblessness rate of 22%in the 2nd quarter and the joblessness rate will then balance out at 13.9%for the year, he said.
Around 220,000 jobs will be lost.
Mr Donohoe’s comments came as he published the Federal government’s Stability Programme Update 2020 (SPU).
This sets out a financial circumstance for 2020 and 2021 and which now incorporates the effect of the Covid-19 pandemic.
” The Irish economic landscape, in typical with somewhere else, has been switched on its head in current weeks,” he stated.
” The necessary restrictions to restrict the transmission of the Covid-19 infection have resulted in a serious recession and unmatched levels of joblessness.”
He also stated the steady recovery presumed in the 2nd half of the year is predicted to gain momentum next year, with the economy growing by 6%and unemployment being up to listed below 10%next year.
” It is expected that financial activity will reach its pre-crisis level in 2022,” the minister included.
He likewise said that the country’s deficit spending is anticipated to be 7.4%this year, or EUR23 bn (₤20 bn).