As governments move from being both a funder and provider of human services to a purchaser of services in private sector markets or quasi-markets, ensuring that providers do what they are supposed to do becomes more difficult. Agency theory and stewardship theory have been suggested as ways of overcoming this problem. This article argues that both are inadequate, particularly because they conceptualise the relationship as bilateral (government funding department and service provider), ignoring the role of clients in achieving organisational objectives. Co-production that recognises the role played by clients in the production of employment outcomes can provide a more useful way of thinking about relationships among key actors involved in the provision of employment services.

Welfare conditionality, and the underlying understanding of unemployment because of lack of motivation, has been widely criticized. This article analyses if and how more co-created services can be a pathway to address some of these challenges. As Denmark currently is moving towards a softening of welfare conditionality for the vulnerable unemployed, and local authorities try to develop models ‘in between’ welfare conditionality and genuine user involvement, this constitute a good case for analysing this question. The analysis build on comprehensive ethnographic data from a four-year research- and innovation project in six Danish municipalities. The employment services in the project have tried to design new strategies involving clients in the development and implementation of services. Among other things, this includes developing integrated services, qualifying the meeting and the talk between front-line workers and clients, engaging the employer side and NGO’s outside the public services and promoting other measures to ensure real involvement of the citizens in the processes. The analysis lists some of the potentials and pitfalls in these innovative processes and reflects upon the feasibility of such new type of co-created services.

This article contributes to the literature on engaging employers in activation policies. It focuses on a specific policy aimed at promoting the labour-market participation of people with disabilities. Unlike many activation policies, this policy recognises that the engagement of employers and the human resource management practices in their organisations are crucial factors for the policy’s success. The article reports on a study among employers participating in this policy. It focuses on the challenges employers experience in placing people with disabilities in their organisations, and on the public support they expect in dealing with these challenges. The article concludes that as promoting the labour-market participation of groups remote from the labour market requires social policy interventions as well as interventions in organisational human resource management, it poses challenges for policy makers, agencies providing employment services, and employers and their organisations.

The number of mature-age Australians registered with employment services is growing, with mature-age jobseekers spending longer unemployed and on income support than younger jobseekers. However, the role of employment services in extending working lives has so far received little attention in policy discourses on ageing and employment. This article examines the effectiveness of Australia's employment services system in supporting mature-age jobseekers, drawing upon interviews conducted as part of wider research on unemployment and underemployment in mature-age. We find that the overriding experience among mature-age jobseekers’ is of a system that exudes ‘carelessness’. We situate mature-age jobseekers’ experiences of systemic carelessness within the context of wider welfare reforms that have contributed to the de-professionalisation and routinisation of employment services’ delivery.