While 84% of managers said applicants who were jobless were not discriminated against because of the current climate, after more than six months' unemployment the picture changed.
The report found more than a quarter (28%) of managers admitted they would be less likely to hire someone because they considered the applicant to be long-term unemployed.
Penny de Valk, chief executive of ILM, criticised the findings: "Unemployment isn't an indicator of ability, especially when hundreds of talented individuals are being made redundant through no fault of their own right now. But the research clearly shows how important it is for job seekers to get back to work as quickly as possible."
Based on the findings de Valk says she is now warning the jobless to "think twice" before taking a gap year, as this was rated "unattractive" to potential employers. She said: "The most effective way for jobseekers to boost their future employment prospects is to freshen up their knowledge and skills."
Redundant workers face six-month race to find work
Redundant workers face a race against time before they suffer the stigma of being branded 'long-term unemployed', according to a survey of 1,000 managers by the Institute of Leadership & Management (ILM).