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Overview

Based on a survey of over 1,000 managers, ILM's latest research shows that unemployment doesn’t initially carry the stigma that those losing their jobs might fear. 84% of managers responding said the employment status of applicants is irrelevant as they don’t consider it an indicator of ability or performance in the current climate of redundancies.

However, after six months out of work the picture changes, with over a quarter (28%) of employers becoming less likely to hire someone they consider to be long-term unemployed. With more people chasing fewer jobs this limited shelf-life will come as a concern to anyone recently made redundant.


The research identified a number of positive initiatives individuals can undertake to boost their employability including:

• studying for a relevant vocational or academic qualification
• keeping up-to-date with industry developments
• undertaking voluntary work

Executive summary

The credit crunch and ensuing financial downturn has created a particularly difficult situation for people who are looking for work, or want to switch companies or career. The number of people out of work is rising resolutely – there are some 2,250,000 people unemployed at the moment, a 50% increase on 2008 figures.

At the same time fewer jobs are available, vacancies have fallen below 500,000 and the downward trend is set to continue.

Increasing numbers of people chasing fewer job opportunities means that the employment balance of power lies firmly with recruiting organisations. With recruiters able to be more selective, job applicants must maximise their employment appeal or risk long periods of unemployment.

To help would-be employees face this challenge, ILM asked managers with recruitment responsibility, from organisations in both the public and private sector, how individuals could improve their appeal to employers. Are additional qualifications more useful than joining career specific networks? Do recruiters favour a candidate for a position who is employed over one who is unemployed?

Even handed: A sizeable majority of managers (84%) said that when considering an applicant for a position, they did not discriminate between two candidates of equal skill and experience on the basis of their employment status.

Meritocratic recruiters: Well-qualified but currently unemployed applicants should find some reassurance in the knowledge that over a third of managers (36%) did not believe that being unemployed was indicative of a candidate’s ability or performance. And 41% said that they focused on personal or professional skills when hiring.

A biased approach: A few managers favoured applicants in work (5%) because of concerns about ability and performance, especially lack of recent experience. However, six per cent preferred unemployed candidates, some simply for the pragmatic reason that unemployed candidates could start more quickly.

The six-month shelf life: A quarter of the managers who treated the unemployed and employed equally said that they would be less likely to take on someone if that person had been out of work for six months or longer, indicating that unemployed applicants have a clear window of opportunity within which to find a job before their unemployed status counts against them.

Improving the odds: According to the managers surveyed, the best way for applicants to improve their prospects of being hired is to obtain more qualifications. Technical or vocational qualifications were rated most useful, followed by academic qualifications. The least useful thing to do in order to improve your employability is to go travelling abroad on a gap year or do volunteer work.

The research shows that while being unemployed for a limited period of time is not a significant barrier to being hired, the longer a person is unemployed, the more likely it is that recruiters will doubt that person’s ability to perform effectively in a new role.

In the meantime, the most effective way you can improve your employability is to develop your knowledge and skills – ideally by gaining appropriate professional, technical or vocational qualifications, but simply keeping yourself up to date with the job and the sector is also of value.