As TJ suggests the answers are complex, but at least part of the answer has to be skills training. Not only does it open up employment opportunities, but it will boost an individual's self-worth – something which must be surely lacking amongst the long termed unemployed. Of course this would require a fundamental change of attitude from the one which has prevailed for the last 30 years. Rather than leaving everything to 'market-forces', the government would have to invest in training centres, colleges etc …… something which is unlikely to happen.