Kelly Dunn, Founder and Managing Director of KD Recruitment, is calling on employers to rethink how they attract, support and retain early-career talent as youth unemployment rises and permanent skilled worker hiring remains cautious.

As the latest KPMG and REC Report on Jobs for the North of England highlights a cautious permanent recruitment market, Kelly Dunn is urging employers to look beyond short-term hiring decisions and consider the long-term impact on young people entering the workforce.

The report shows that permanent placements in the North of England fell for the first time in five months, while temporary billings rose at their strongest rate in two years. The report also highlights that employers are continuing to favour temporary and contract staff as they navigate economic uncertainty, slower decision-making and changing workloads.

At the same time, youth unemployment remains a growing concern. The latest figures show that 735,000 young people aged 16 to 24 were unemployed in February to April 2026, an increase of 109,000 compared with the previous year. The youth unemployment rate stood at 16.2%, up from 14.3% a year earlier.

Kelly Dunn said “I speak to employers every week who are cautious about hiring, conscious of cost, and understandably wanting to make the right decisions. But as a mum of a recent graduate, I also see the other side of this market. I see how difficult it can feel for young people who have done everything they were told to do, worked hard, gained a degree, built their confidence, and are now stepping into a labour market that feels uncertain and competitive.”

Kelly recently published a blog, Graduate Unemployment: Why Work Experience Whilst Studying Can Make a Big Difference, exploring how part-time jobs, volunteering, placements, internships and work experience can help young people build the confidence, resilience and practical workplace skills employers are looking for. She believes the latest market data reinforces the importance of employers playing a more active role in developing future talent.

“Work experience matters. Not because every graduate should already have years of experience before they have even started their career, but because it gives young people a bridge between education and employment. It teaches communication, accountability, customer service, problem solving, resilience and confidence, all the things that do not always appear on a degree certificate but make such a difference in the workplace.”

The KPMG and REC report also shows that candidate availability in the North of England continued to rise in June for those looking for low level / low wage roles, with permanent labour supply increasing substantially and temporary candidate numbers also growing. However, pay pressures remain, with starting salaries rising at their fastest pace since January as employers continue to compete for experienced skills.

Kelly says this creates both a challenge and an opportunity for employers. “There is more candidate availability in the market, but that does not automatically mean employers will find the skills they need. Many businesses are still looking for experienced people who can hit the ground running, yet we also have a generation of young people who need someone to give them that first opportunity. If employers only ever hire based on experience, where does the next generation gain it?”

She is encouraging employers across North and East Yorkshire to think strategically about early-career talent as part of their wider recruitment and retention plans. This could include offering work experience placements, paid internships, temporary assignments, graduate entry roles, mentoring, apprenticeships, clearer onboarding, and realistic training pathways.

“Retention does not start after someone has been in the business for six months. It starts before they join. It starts with how you speak to people, how clear you are about the opportunity, how you onboard them, how you train them and how you make them feel they belong. That is even more important for young people starting their careers.”

Kelly also believes temporary and contract work can play a valuable role in helping young people gain experience, while supporting employers who may not yet be ready to commit to permanent hiring. “The rise in temporary job roles tells us that businesses still need people, but they may need flexibility. That can be a positive route for young people too, if it is handled well. Temporary work can build confidence, develop skills, open doors and help someone discover what kind of workplace or career path suits them.”

However, she warns that youth unemployment should not be treated as a standalone issue. “This is not just about young people needing to try harder. It is about employers, educators, recruiters, policymakers and local communities working together to create better pathways into work. If we want future managers, accountants, marketers, engineers, salespeople and business leaders, we have to invest in them at the start.”

Kelly added “As a mum, I want young people to feel hopeful about their future. As a recruiter, I know that talent does not always arrive fully formed. As a retention specialist, I know that the employers who invest in people early often build stronger loyalty, better engagement and a more sustainable workforce. Graduate unemployment should concern all of us, because today’s overlooked graduate could be tomorrow’s exceptional employee — if someone gives them the opportunity.”

ENDS

Notes to editors

Kelly Dunn is the Founder and Managing Director of KD Recruitment, a North Yorkshire-based recruitment partner supporting businesses across North and East Yorkshire with recruitment, retention, employer brand, workforce planning and talent strategy.

The latest KPMG and REC (Recruitment and Employment Confederation) Report on Jobs for the North of England was published in July 2026 and is compiled by S&P Global from responses to recruitment and employment consultancies across the North of England.