Department for Work and Pensions fears Monster’s website has become undermined.
The government’s jobs website is set to be axed at the end of its contract after becoming a magnet for fake and fraudulent adverts, it is claimed.
Universal Jobmatch is plagued by fake and duplicated job adverts, according to the Guardian, which claims to have seen leaked internal documents outlining plans to scrap the venture just 18 months after its launch.
The site, provided by recruitment site Monster, has become too costly to run and undermined by the fraudulent posts, according to the memos from within the Department for Work and Pensions (DWP).
The government’s relationship with the private recruitment firm now appears strained and it is considering starting over with a new provider come April 2016.
The website has become renowned for numerous fake job advertisements and hosting listings for porn sites, but a Channel 4 News investigation and a separate one conducted by a Labour MP recently revealed the extent of the problems.
Fake or repeat job listings number in the hundreds of thousands, according to Frank Field MP and Channel 4, while a minority of ads was found persuading jobseekers to spend money on fake criminal record checks or that resulted in the possibility of identity fraud.
Field said the site was "bedevilled with fraud" and is calling on the National Audit Office to investigate.
The DWP removed more than 120,000 of job adverts from 180 employers at the site at the start of the month, because they did not comply with terms and conditions, though told the Guardian only a fraction of its 524,640 ads do not meet its guidelines.
Meanwhile the government’s relationship with site provider Monster, the international recruitment firm that won the multi-million pound contract to provide the service, is believed to be strained.
The Guardian cited a memo to project heads warning them the DWP’s relationship with Monster must be managed "very carefully".
This is despite leaked documents appearing to blame website issues partly on ministers’ resolve to make the site as open as possible to all kinds of employers.
Options being considered by the government include getting another external company to create a new site, designing a site catering for small businesses only, and agreeing with other job sites to cross-post vacancy advertisements.
A DWP spokesman said: "Universal Jobmatch revolutionises the way jobseekers find work and it has already helped many jobseekers find the jobs they want since it was launched in 2012.
"How people find work has become increasingly digital so it’s right – and responsible – that DWP should continually look to ensure we are making the best offer to jobseekers.
"The current Universal Jobmatch contract comes to an end in 2016 so any speculation on what will happen after that is premature."