‘Golden hello’ plan is ‘irresponsible’

The Government’s plan to give firms that recruit people who have been unemployed for more than six months ‘golden hellos’ of up to £2500 is ‘irresponsible’, say design recruitment experts.

The £400m initiative, which is being announced at the Government’s jobs summit today, will see Jobcentre Plus staff given the power to award up to £2500 to firms that hire people who have been out of work for more than six months – as long as they keep them on their books for at least six months.

At the moment, 262 000 people are registered as having been out of work for more than six months, and the jobless total is predicted to hit three million by the end of the year.

But Claire Vidler, managing director of design specialist Blue Tree Recruitment, says the move is ‘irresponsible’ and ‘short-termist’.

She says, ‘Design consultancies want to take on staff at the moment, but are holding back because they can’t forecast what their clients will do over the next six-to-12 months.

‘It’s fine for firms to get £2500 for taking on a new client, but what happens if the workload isn’t there?’

She adds, ‘This move leaves candidates very vulnerable, they could just be used to get £2500.’

Vidler says a better way to stimulate the design recuitment market would be for the Government to make it easier for consultancies with long-term plans and proven success to get loans to help them through the next year.

And Karina Beasley, managing director of design recruitment firm Gabriele Skelton, describes the move as a ‘fruitless exercise’, adding that it would ‘absolutely not’ stimulate the design recruitment market.

She says, ‘I just don’t understand the benefits of this plan – £2500 is hardly enough to keep a company going.’

Prime Minister Gordon Brown says about the scheme, ‘We must do everything we can to help those losing their jobs to find work again quickly, or to get a new skill, to maximise the chances of the unemployed getting jobs.’