The Leeds Under-Employed Graduates project was developed to assist higher education (HE) graduates living or working in Leeds, England, who encountered difficulty in establishing themselves in the local labor market. The main project activities were as follows: (1) services for graduates (including graduate career development workshops, assistance with compiling career development portfolios, provision of individual mentors, and open evenings providing peer support opportunities); (2) private sector recruitment and employment services; and (3) local labor market research. Twelve factors inhibiting progression from HE into the labor market and 6 factors encouraging progression were identified through feedback provided by the 268 graduates who made contact with the Leeds project. The graduates' feedback and experiences also revealed the following areas of local- and national-level practice and policy where appropriate action could help lessen the risk of wasting graduates' skills and abilities and could enable graduates to begin the career development process: pre-HE and post-HE careers education and guidance; work experience and career development; work-related learning; mentoring; recruitment and employment services; guidance and the Internet; action research; and information, advice, and guidance partnerships. The project's achievements have been substantial in terms of the practical help and support offered to local graduates. (MN)