More must be done to improve the numbers of Muslim graduates moving into jobs, Minister for Employment and Welfare Reform Margaret Hodge said today. Just 76 per cent of Muslim graduates of working age are in jobs, compared with the overall graduate rate of 87 per cent - an 11 per cent gap. The employment rate among the working age Muslim population, including non-graduates, is 45 per cent - compared with 75 per cent for the overall population. The employment rate for ethnic minorities as a whole is 60 per cent. Ms Hodge said, "It is completely unacceptable that highly skilled people from Muslim backgrounds are coming up against such barriers."

Margaret Hodge, who chairs the cross-government Ethnic Minority Employment Task Force, will tell a seminar today that the economy as a whole is missing out on a diverse workforce. She said: "This seminar is being held at a very important time when we are all thinking about how young Muslims can be encouraged to feel integrated into British society. The 11 per cent gap in getting Muslim graduates into jobs is really worrying.

Muslim people make up 2.8 per cent of the population of Great Britain. The total number of Muslim graduates is around 150,000 - about two per cent of British graduates.

"Ensuring everybody has equal access to work is not just morally right - it's good for business and the economy because it means we are making the most of our talents," continued Margaret Hodge.

"But these figures show that some employers are missing out and too many graduates from ethnic minority communities are being left behind.

"More than 155,000 people from ethnic minorities have been helped into work through the New Deals, Employment Zones and Actions Teams. But we realise that more needs to be done to help excluded groups who can experience discrimination - and employers must play their part by giving everyone the same opportunities.

"Muslim students have a good track-record of getting into higher education, but they do not always do as well at university or enjoy the same chances in the job market as people from other backgrounds.

"We need a concerted effort working in partnership with educators, trainers and employers to tackle this disadvantage and close the gap in opportunity."

The seminar Muslim Graduates In The Labour Market was organised by Bradford-based charity QED (Quest for Economic Development) in partnership with the Task Force. QED campaigns for the educational, social and economic advancement of the UK population of south Asian origin.

Chief executive Mohammed Ali OBE said: "We need to know why so many Muslim people are missing out in the job market and why so many employers are failing to take advantage of the valuable skills Muslims can offer.

"The aim of the seminar is not just to talk about these issues but to come up with real proposals for breaking down the barriers between Muslims and potential employers."