Employers get £2,500 golden hello to recruit unemployed

Employers will be paid £2,500 to recruit and train people who have been out of work for six months or longer, the government has announced.

Work and pensions secretary James Purnell revealed details of a £500m jobs rescue package at today’s Employment Summit.

As well as extra funds for Jobcentre Plus to provide more intensive and personalised support to the long-term unemployed, there will be:

  • Golden hellos of up to £2,500 to employers that recruit and train unemployed people
  • Extra funding for training places to help unemployed people get new skills to maximise their chances of getting jobs
  • Volunteering opportunities, to help people back into work habits
  • Advice on creating business plans, plus funding for the first months of trading.

Purnell said: “Today we have unveiled the next stage of help for jobseekers. There are still more than half a million jobs available, and employers are still recruiting – we will do everything we can to get people into those jobs.

“The£500m announced today will be used to guarantee extra support to everyone who reaches six months’ unemployment – we are determined to provide real help to people in these tough times. Our message is simple, the longer a person is out of work the harder we will work for them.”

Chartered Institute of Personnel and Development chief economist John Philpott told Personnel Today last week that recruitment subsidies may be under consideration.

He added: “That’s the sort of thing that might be usefully applied after the worst of the recession is over as a way of stimulating the labour market more quickly.”

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