Union warns job cuts at Birmingham City Council will have "massive impact" on services
Up to 600 redundancies could be made at Europe's largest authority.
Last updated 16th Feb 2024
Union leaders are warning job cuts at Birmingham City Council will have a big impact on vital services.
Up to 600 posts could be axed in a wave of redundancies.
No decision has yet been made on how many posts "may be declared redundant across the council" or when the cuts will begin, according to a spokesman for the authority which last year effectively declared bankruptcy.
A formal consultation with trade unions is to be held over the proposals.
Delcan Downes, from the GMB union, said: “GMB has been calling on Birmingham City bosses to come clean on their plan for months.
“Birmingham is already to cut to the bone after years of Government austerity and cuts to vital local services.
“Cuts to jobs will see massive impact on vital local services. This is nowhere more so than in services dominated by the same women worker’s the council has discriminated against for decades.
“After decades of ignoring rampant pay discrimination, this is a crisis of the Council’s own making. Our union won’t stand by as working Brummies’ are expected to pay the price.”
Consultation on redundancies
An email was sent to staff at Birmingham City Council on Tuesday, telling them of the plans.
A council spokesman said: "We anticipate that (subject to consultation) up to 600 posts may be declared redundant across the council."
He added: "We understand that this news will be unsettling, and I want to reassure you that we are here to support you through this process.
"We will now start formal consultation with our corporate trade union representatives and follow these with directorate collective consultation meetings.
"These consultation meetings with trade unions will continue to take place regularly."
Why is Birmingham in financial crisis?
Europe's largest local authority revealed last year that it could not balance its books and issued a section 114 notice on September 5, effectively declaring bankruptcy.
This prompted Department for Levelling Up, Housing and Communities (DLUHC) Secretary of State Michael Gove to announce he was minded to intervene and send in commissioners to oversee the council after it declared itself in financial distress.
The section 114 means any new council spending in the city, with the exception of protecting vulnerable people and statutory services, must stop immediately.
It came as the council admitted it had an estimated £760 million equal pay liability.
The authority said it does not have sufficient resources to cover the potential liability and has also identified a budget shortfall for the current financial year of £87 million, which is projected to rise to £165 million in 2024/25.
The council spokesman said the possible 600 figure is in addition to posts "that have been deleted through organisational redesign that were already vacant" and "nor does it include vacancies".