The graduate ‘milkround’, where big companies tour UK universities in a bid to attract the best graduate talent, is a traditional part of the business year for many companies.

But this well-established yearly ritual could be under threat from age discrimination that comes into effect next year.

ATSCo, the Association of Technology Staffing Companies, believes the practice could become illegal under a clause in the EU employment directive on anti-age discrimination, which prohibits indirect discrimination.

Employers have argued that because older students have equal access to university education, the milkround is not discriminatory.

But figures from the Higher Education Statistics Agency have showed only 13.2% of undergraduates in 2003 were over the age of 40.

Ann Swain, chief executive of ATSCo, said: “The majority of new graduates are in their early 20s, so the annual graduate milkround may fall under the category of indirect discrimination.”

Companies using milkrounds to attract graduates would have to justify why they needed to recruit from universities, Swain said.

ATSCo is now seeking further clarification from the government about the issue.