The stigma attached to unemployed contractors and other professionals is unfair and should be curbed, according to one expert.

Stephen Overell, associate director at the Work Foundation, said that a diverse group of people are unemployed which makes the stigma both unfair and impractical.

"The stigma increases depending on how long you are unemployed. The longer you are unemployed, the harder it is to get back into the labour market and the [bigger] the risks of becoming more isolated from the labour market," he added.

This comes after Trade Unions Congress general secretary Brendan Barber released a New Year message saying that the forecast for the unemployed is bleak.

He predicted that unemployment will rise due to job cuts in the public sector and that when the benefits cuts are introduced, those without jobs will see a serious decrease in their standard of living.