Bridging or Breaking the System? Analysing Denmark's Transition Away from Jobcenters and Its Effect on Immigrant Labour Inclusion

Bakhshi, Human ; Pettey, Nicholas Ross

4. term

Culture, Communication and Globalization, Master

2025

2025-05-30

74 pages

In 2025, Denmark is undergoing a significant transformation in its approach to labour market integration with the abolition of the Jobcenter system, a key institutional pillar responsible for administering employment services, particularly for immigrants and refugees. This thesis examines the institutional consequences of this reform by exploring what mechanisms are lost or introduced through the dismantling of Jobcenters under the April 2025 reform, and how these changes affect the effectiveness, risks, and benefits of integration efforts compared to previous models. The research is framed through Social, Cultural, and Human Capital theories and employs an interpretivist, exploratory case study approach. Empirical data is gathered through semi-structured interviews with municipal officials and stakeholders involved in the reform, alongside document analysis of policy materials and academic literature. The findings reveal that the removal of Jobcenters results in the loss of key integration mechanisms, including standardized access to support services, established relationships between immigrants and caseworkers, and institutional familiarity that previously helped immigrants navigate Denmark's bureaucratic and employment systems. These structures were instrumental in building bridging social capital; connecting newcomers to employers, unions, and wider support networks, while also supporting the development of cultural and human capital critical for long-term employment success. Conversely, the reform introduces a range of new institutional mechanisms, including greater municipal autonomy, increased involvement of private actors, a shift toward individualized support, and results-based governance. While these changes are designed to enhance flexibility and efficiency, they also raise significant concerns. The research highlights potential risks such as geographic inequality in service provision, inconsistent quality of support, and the marginalization of individuals with low system literacy or limited personal networks. For many immigrants, especially non-Westerners, the loss of structured, centralized guidance may significantly hinder their ability to access meaningful employment opportunities. Through a thematic analysis of interviews, the study underscores the importance of preserving access to critical forms of institutional, social, and symbolic capital during periods of welfare transformation. It argues that while decentralization and innovation hold potential, they must be accompanied by strong oversight, inclusive policy design, and investments in culturally responsive services. The research contributes to broader debates on integration policy and welfare reform by offering insights into the lived consequences of systemic change for vulnerable populations in liberal democracies

Labour Market Integration ; Immigrants and Refugees ; Jobcenters ; Capital Theory ; Danish Welfare Reform

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