Jobcentres should be split up, with their employment arms forced to compete against private sector and voluntary providers and the remaining services rebranded as Citizen Support, a think-tank has recommended.
Under the plan, the employment services arm would be mutualised, while the remaining part of Jobcentre Plus would be expanded and renamed to reduce the "stigma" attached to it.
The right-of-centre Policy Exchange said just over a third (36%) of people using jobcentres find sustained work, with many finding themselves in and out of employment largely due to having barriers to work which are not fully dealt with.
The report said the Government's welfare reforms have improved matters, but there is still too much duplication and inefficiency in the system.
More top news
Passengers cry out and prayers are heard as a plane endures turbulence so severe it forced the pilot to take an unscheduled landing.
Michael Swain says the 'fantastic' surgery has made a huge difference to his life.
The brother of a teen who disappeared in 1979 has told ITV News he is "convinced" he was a victim of an alleged Westminster paedophile ring.