The initiative was planned for Wednesday when 150 job seekers were invited to search around the Jobcentre Plus branch, in Southwark London, for chocolate eggs containing prizes, including job application forms, vouchers to buy clothes for interviews and a licence to work on a building site.
Against accusations the scheme is an ‘insult to the unemployed' and "humiliating and demeaning" the Easter egg hunt has been cancelled.
The Department for Work and Pensions distanced itself from the event saying it was being organised by one lone JobcentrePlus, and by an outside provider, Skills Training UK (STUK).
A spokeswoman from STUK said: "STUK holds these events on a regular basis because they are an excellent way of finding work for our unemployed customers. In fact we have placed several hundred people into work as a result of this type of event. This event was set up as an Open Day to attract employers and create more opportunities for jobs. Local and national employers had confirmed their attendance and were looking forward to matching their vacancies with our customers.
"Unfortunately the recent media coverage is sure to make our unemployed customers and employer partners uncomfortable. As a result STUK have no choice but to cancel the event this week."
Jobcentre cancels Easter Egg Hunt for jobs because of bad press

A media furore has forced Jobcentre Plus abandons 'Easter Hunt' plans, which force jobseekers to 'hunt' for jobs and application forms