Why is it challenging to hire a long-term unemployed worker?

Why is it challenging to hire a long-term unemployed worker?

Some workers face longer periods of unemployment than others. Recently, because of the global pandemic, many workers were facing unemployment for an extended period. As employers are expanding their companies after a period of major downsizing, they are now actively seeking new hires.

As the unemployed worker would be thrilled that their opportunity for hire has increased, employers face some problems with many candidates who have been unemployed over extremely prolonged periods.

Why can it become an issue for employers to hire long-term unemployed workers? The more time an employee spends unemployed, the less time they spend practicing their skills and their role. Due to lack of practice, unemployed workers can begin to lose their skills and become out of touch with short-term developments in the employment market. They may not be able to complete the same work they could while employed, or there may be new skills that their role now necessitates.

A pitfall to hiring a worker who has been out of practice means they may need training or even additional skills development. This can become expensive for an employer and a factor against hiring this type of worker.

There is also a chance that many workers who were unable to get jobs in their role are now applying to positions they are overqualified for to ensure they secure a job. This can develop a problem for the employer because it is likely that the new hire will switch jobs when something better presents itself. Hiring this type of worker can be costly (because of training and expenses required for the position) and a waste of time.

It could be harder for the long-term unemployed worker to get back into the routine of the workplace. They may take more time to adjust to demands, or not be as capable of this adjustment as a worker who has been employed more recently. Therefore, performance expectations may be more difficult to meet and could have a negative effect on the company.

However, these downsides are completely speculative and are difficult to ensure. Even though there are risks to hiring an unemployed worker, there are many reasons why hiring this worker could benefit an employer and the economy.

Many times, it is not the workers fault that they have been unemployed for an extended period. Because of the recent pandemic, many companies downsized and were not hiring because they lacked the resources.

Further, unemployment does not mean “unmotivated to find a job”. To be considered unemployed, the worker must be actively seeking jobs, and therefore, has not given up on pursuing their career. Because they have been seeking employment for an extended period, this worker could become even more determined than the average worker to be back in their role and performing at their highest level.

Lastly, hiring an unemployed worker could not only benefit the employer, but the economy. The employer could help decrease the number of unemployed workers instead of hiring a candidate that already has a job.

If you are an employer who requires assistance in crafting an employment contract, please contact KCY at LAW by filling in an online consultation request or contact us by phone at 905-639-0999 to book your consultation today.