The leader of Nottingham City Council has responded after three trade unions jointly launched a dispute over voluntary redundancies being offered.
Councillor David Mellen said the authority wanted to avoid compulsory redundancies ‘if possible’, and repeated calls for the Government to ‘make good on its promises’ and reimburse councils for Covid-related losses.
The council estimates £85.5 million will be wiped off its balance sheets by April next year as a result of loss of income and increased demand for services.
Yesterday, Unite, Unison and the GMB launched a joint dispute over the voluntary redundancies.
Now, councillor Mellen, who represents the Dales ward for Labour, said: “Councils up and down the country are facing unprecedented financial problems, having endured a decade of Government funding cuts that have hollowed out local services and resilience, to then be hit with the Covid crisis and a Government which appears unwilling to fully fund the costs of this, despite earlier pledges to do so.
“This council was already seeking to meet the ongoing demand of Government to make £15.6m of savings to balance its 2020/21 budget.
“We have now identified the impact of Covid as at least £54m, with Government granting £19m so far. This places a further pressure of £35m on our finances, meaning we will have to consider making job cuts among other saving measures.
“If possible we want to avoid making people compulsorily redundant who have stepped up magnificently to keep people safe, simply because the Government is reneging on its promise to compensate us.
“For the last seven years we have provided no enhancements for taking voluntary redundancy, but as we regrettably look towards job cuts we are proposing to introduce them now to make it quicker and easier than a difficult and lengthy compulsory redundancy process, as well as to help the council control its budget and manage spending.
“We do not take these sorts of decisions lightly and will be meeting within the next few days to discuss.”
Yesterday (Thursday, July 2) in announcing the dispute was being raised, Christina Sanna, Branch Secretary of Nottingham City Unison, said: “Rather than retreat into submission, Nottingham’s political leaders should withdraw their planned job cuts and show bold and confident leadership, demanding from the Government the financial support our city deserves.
“Now is the time when our communities need security that only the public sector can provide. Families who can’t make ends meet need support to help care for their kids. Young people need meaningful engagement not left to gather at street corners. Workers need jobs and hope, not rejection and despair. Now is the time for big government”