London business owners have been handed an incentive to take on graduates by being offered a three-month payroll tax holiday for university leavers they enrol on placements within their organisation, the Financial Times reports.
The scheme has been proposed as a means of aiding the government in its recent employment scheme which aims to guarantee a job, training or work experience to any 18 to 24-year old who has been out of work for six months.
It is being jointly run by digital recruitment network Wexo and internship facilitator Step and will give participating companies exemption from PAYE and national insurance contributions during the internship period.
This proposition, which also means graduates will receive the national minimum wage while working, could potentially open up a number of job opportunities for London graduates.
This announcement comes in the same week that research conducted by the Recruitment and Employment Confederation and KPMG showed permanent staff placements increased for the sixth month in a row in January 2010.
