Pecan, who supports job seekers in the south-east London district of Peckham, says starting a job after a sustained period out of work can be difficult.
The charity has been speaking on Premier's News Hour as new official figures show UK unemployment fell by 60,000 in the three months to January.
According to the Office for National Statistics (ONS), the jobless rate has reached its lowest rate for a decade and now stands at 1.69 million (5.1%).
The number of people on the claimant count, including those receiving Jobseeker's Allowance, dropped last month by 14,800, to 760,200.
More than 31.4 million people are now in employment, the highest since records began 35 years ago.
Executive Director at Pecan, Chris Price told Premier his concerns for the long-term unemployed and explained by even people in work can still be struggling.
Speaking on the News Hour, he said: "For some people, if you haven't been working for ten years, that's a massive step. To reintegrate into the workplace is a hard thing to do, so people need progressive steps to get them there.
"A lot of people, especially in London, are getting employment but it's below the London living wage. They might be getting the national minimum wage but it doesn't pay and, if you're on zero hours, it means you don't know how much is coming in week-to-week, so [they're] playing around with benefits.
"We're also seeing a growing number of people getting into self-employment but what you have to recognise is it's good but self-employment income has fallen on average by 22% since 2008/09.
"They're getting less money and either doing only eight hours a week or actually doing over 45. That's where the growth is there."
The pace of earnings increases slowed in the year to December to 1.9%, compared to 2.1% in the previous month.
Statistician at the ONS, Nick Palmer, said: "While the employment rate continues to hit new highs and there are more job vacancies than ever previously recorded, earnings growth remains subdued and markedly below the recent peak of mid-2015."
Work and Pensions Secretary Iain Duncan Smith said: "February is another record- breaking month, with the employment rate now at the highest it has ever been and wages continuing to grow.
"At a time when we are seeing the number of workless households at its lowest ever, this is further proof that our economic and welfare reforms are delivering more security and providing opportunities that give families the best chance in life."