Sparks fly as job cuts proposals passed at council exec meeting
Article published: Wednesday, January 19th 2011
Heated exchanges took place today at Manchester City Council’s Executive meeting as Labour and Liberal Democrats attempted to shift the blame for the 2,000 voluntary redundancies which council leaders claim are necessary to cope with cuts to council spending over the next year.
A report published yesterday and passed by the executive this morning outlines details of the council’s ‘Workforce Reduction Scheme’ that will enable it to achieve savings of £110m over the next year, and £170m over the next two years. The cut represents a 25 per cent reduction to the current budget, referred to by councillors as “savage.”
This comes after the announcement on 13 December that Manchester would be one of the 36 councils nationwide taking the maximum 8.9 per cent cut in funding from central government.
Labour leader Richard Leese called it a “difficult report for any of us to be associated with, but it is one that is necessary.”
The council had originally expected cuts of only £95m to be made over 2-3 years, resulting in 1,000 redundancies. Council leaders still claim there will be no compulsory redundancies, but admit that the figure of 2,000 job losses is a minimum and that it may in time be “forced to reconsider” if too few staff volunteer for redundancy or early retirement. The proposed budget will be brought to the council and executive in February.
Letters explaining the Workforce Reduction Scheme will be sent to council workers this afternoon. Employees over the age of 55 will be able to apply for their pensions, while staff opting for the Voluntary Severance Scheme will be entitled to free training seminars and increased severance payments.
Leese claimed today that council workers were supportive of management. However, trade unions, with whom he claimed to have a “close relationship” and common understanding over the issue, are still to make an announcement. However, MULE sources suggest that while Unison are willing to comply while Unite are contemplating balloting for strike action.
The topic triggered a fierce political dispute between rival parties at the Town Hall.
Manchester Liberal Democrats accused the Labour council of trying to make political capital out of the redundancies by press releasing the announcement at the same time as polls opened for the Oldham and Saddleworth by-election last Thursday. The announcement was made before they had even informed council staff and nearly a week before releasing a report with further details on the proposals. Labour councillors meanwhile called for the Liberal Democrats to bear responsibility for the actions of the colleagues in Westminster, and resign from their party.
Unwilling to openly condemn the coalition’s cuts to local government, senior Lib Dems accused Labour of favouring “megaphone diplomacy” over “direct dialogue,” and pledged they would “leave no stones unturned in terms of lobbying at the highest levels.” They also accused Labour of presenting the spending reduction plans as a fait accompli while ignoring other potential options, such as the Lib Dem’s proposed a voluntary 5 per cent pay cut as a means of saving 600 jobs, a proposal that Labour claims is unworkable.
Andy Bowman
More: Manchester, News
Comments
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Typical – Manchester City Councillors from both partes have spent the past three months blaming the destructive cuts on one another. They are scoring political points with the misery that will engulf thousands of peoples’ lives. If they had courage and really cared about those they are supposed to represented they would take a principled stand and refuse to set the budget.
Comment by Red Mick on January 19, 2011 at 7:28 pm -
How can MCC be so certain that cutting 2000 jobs is the best way to make savings when they don’t even know how much they fritter away on advertising? (see Mule passim)
Comment by Hildegard on January 22, 2011 at 4:15 pm
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