In the constant search for skilled, resilient, and dedicated professionals, many businesses overlook one of the UK’s most valuable talent pools: ex-military personnel.
Reed in Partnership is the contract holder for the Career Transition Partnership (CTP), which means we have a great insight into the skills ex-military can offer civilian employers. Yet, misconceptions around skills matching and cost continue to drive decision making, among these are: lack of commercial awareness, training costs, cultural fit, and understanding military transferable skills.
Hiring from the armed forces is not just a matter of corporate social responsibility; it is a strategic business decision that can bring unparalleled skills, a strong work ethic, and significant financial benefits to your organisation.
The untapped power of transferable military skills
Military training develops a rare blend of leadership, resilience, discipline, and collaboration that fits seamlessly into the corporate world. While civilian employers may not always understand military ranks or terminology, the skills behind them are exactly what modern organisations need.
Veterans are used to leading at every level - taking initiative, supporting others, communicating clearly, and working towards shared goals. They don’t expect to walk into leadership roles, but they bring leadership qualities to any position: accountability, structure, adaptability, and strong attention to detail.
They are also trained to perform under pressure. Veterans excel at assessing risk, making sound decisions with limited information, and staying composed in fast‑changing environments. This resilience and problem‑solving ability is invaluable in businesses facing constant change and complex challenges.
Clear communication and teamwork are ingrained in military culture. Veterans understand precisely how their role contributes to the wider mission, fostering collaboration and eliminating siloed thinking. They work effectively with diverse teams and bring a strong, mission‑focused mindset.
Debunking the myths: Overcoming hiring hesitations
Despite the clear advantages, some employers remain hesitant to hire veterans. These reservations are often based on persistent and damaging misconceptions.
One common stereotype is that ex-military professionals will come with complex mental health requirements. This stereotype is not only unfair, but also unfounded. Most veterans are resilient, professional, and driven individuals whose positive attributes far outweigh any potential challenges.
Furthermore, under the Equality Act 2010, it is discriminatory to make hiring decisions based on assumptions about a person’s wellbeing. By letting these fears guide recruitment, you are not only acting unfairly but also missing out on exceptional talent.
Employers may consider internal support services as costly, however commissioned services such as those delivered via the Forces Employment Charity (FEC) – a partner to Reed on the CTP - are experts in complex needs assessment and aligning the appropriate support to UK veterans.
A common misconception is that hiring veterans is costly and time-consuming, particularly due to training and onboarding requirements. In reality, many support services are available at no cost through charities and government-backed organisations. Additionally, programmes such as CTP, and the Ministry of Defence, offer paid work placements for military service leavers to gain valuable civilian experience. Simple initiatives like a buddy scheme can also help accelerate integration and reduce transition times. Moreover, as we’ll explore, the government provides significant financial incentives that can more than offset any perceived costs.
The national insurance exemption: A game-changing incentive
Employers concerned with cost to hire are supported heavily when they align themselves to commissioned services like CPT, the FEC and Defence Relationship Management (DRM) teams. However, a clear way to ensure more cost neutrality is the tax relief for the first year of employing ex-military professionals for all category one national insurance contributions.
Here's how it works: When you hire a veteran, you are exempt from paying employer NI contributions for the first 12 months of their employment. This relief applies to earnings up to the upper secondary threshold, which is currently £50,270 per year. This translates to a potential saving of up to £6,250 for each veteran you hire.
The eligibility criteria are straightforward. The individual must have served at least one day in the regular armed forces, and this must be their first civilian role since leaving the service. The saving is significant, especially for businesses looking to hire multiple people. For a company hiring ten veterans, that could mean over £60,000 in savings in one year. For large defence contractors hiring hundreds, the savings can run into the millions.
This incentive effectively turns the perceived cost of training and onboarding into a cost-neutral or even profitable exercise. The money saved can be reinvested into creating robust support programmes, such as buddy schemes or specialised training, further ensuring a successful transition for your new employee.
Critically when considering hiring ex-military, data tracking from your applicant tracking system or other HR system will be crucial to ensure tax levies are accurately processed. By adding a simple question to your onboarding process like - "Are you an armed forces veteran?", you can unlock this substantial financial benefit and signal to the ex-military community that you are a forces-friendly employer.
Where do veterans thrive?
While it's easy to see the fit for veterans in defence, engineering, and technology, their skills are in demand across every sector. In fact, one of the UK's largest employers of ex-military personnel is Tesco. From logistics and driving to senior management, the retail giant has recognised the value these individuals bring to its vast operations.
Engineering is another field where veterans excel. Military engineers are among the best in the world, with experience ranging from shipbuilding to advanced electronics. Their practical skills, combined with a disciplined approach to problem-solving, make them ideal candidates for a wide range of engineering roles.
Strategies for attracting and retaining veteran talent
To successfully tap into this talent pool, you need to be proactive and intentional in your approach.
Become a forces-friendly employer: Veterans want to know that an employer understands and values their background. Simple things like signing the Armed Forces Covenant or creating inclusive policies, such as offering extra leave for reservists or military spouses, can make a huge difference. These actions signal that you are a supportive and welcoming organisation.
Leverage support services: You don't have to do it alone. The Career Transition Partnership (CTP) is an MOD-funded organisation, run by our sister company Reed in Partnership, that provides comprehensive support for service leavers. It offers everything from CV guidance and interview preparation to career fairs where you can connect directly with candidates. Engaging with CTP is a low-cost, high-impact way to access a pipeline of job-ready talent.
Implement a buddy scheme: The transition from a highly structured military environment to a corporate one can be challenging. Pairing a new veteran hire with an existing employee - preferably another veteran - creates a valuable support system. This buddy can help them navigate the cultural nuances and answer questions they might be hesitant to ask a line manager, dramatically improving the onboarding experience.
Translate military experience: Work to understand how military ranks and experience translate into civilian job descriptions. Resources are available to help bridge this gap. This will enable your hiring managers to recognise the potential in a military CV, preventing skilled people from being filtered out of the process. Our Enhancing Veteran Pathways initiative brings employers together to share best practices on this very topic.
It is time to look beyond the misconceptions and recognise the immense potential within the veteran community. By taking steps to become a forces-friendly employer and actively seeking out this talent, you will not only be strengthening your workforce but also gaining a loyal, dedicated, and highly skilled employee who is ready to contribute from day one. Your next great hire might just be a veteran waiting for the right opportunity.
Join our Enhanced Veteran Pathways initiative today and connect with forward-thinking employers who are sharing best practices to make veteran hiring easier, faster, and more impactful. Get in touch with the team to find out more.
