The recruitment of 350 staff to help Universal Credit claimants find a job has been put on hold because there is not enough money to employ them.
Work coaches help claimants to identify their key skills, improve their CV, perfect their interview techniques and get better and finding jobs.
Around 350 coaches were due to be employed to help claimants in Northern Ireland. The roles were advertised in September.
However, the Department for Communities has said recruitment has been put on hold due to budgetary pressures.
Universal Credit, which combined six benefits into one single payment, was introduced by the Tories as part of reforms to the welfare system.
However, it has been strongly criticised amid fears that thousands of claimants have been left worse off.
A spokeswoman for the Department for Communities said the recruitment of work coaches was paused after the Draft 2021-2022 Executive Budget was published last month.
"It is clear that the draft budget presents very significant challenges for the Executive and across departments with a constrained Spending Review outcome," she said.
"It is currently out for consultation, no decisions on the final outcome have yet been made.
"The minister (Deirdre Hargey) is on record as stating she will continue to fight to protect families living in poverty, low-income families, single parent families, those with disabilities and children and young people – including those most affected by the Covid-19 pandemic and current economic crisis.
"The minister is committed to working hard to ensure the necessary resources are targeted towards those most in need."
