Council offers every employee chance to apply for voluntary redundancy

Every single member of staff at a council in Hampshire has been given the opportunity to apply for voluntary redundancy, it has emerged.

Fareham Borough Council made the offer after announcing to employees that 42 posts could need to be cut because of an anticipated reduction in its government grant.

A spokeswoman for Fareham said: “All staff have been given the opportunity to apply for voluntary redundancy, but there is no guarantee that the redundancy will be accepted unless an employee who is at risk has the knowledge skills to undertake the potential vacant post.”

The council said it was preparing the ground for an anticipated cut in funding of at least 25% as part of the comprehensive spending review, the outcome of which will be known next month.

A cut of this size would amount to £2.4m in Fareham’s case, with £1.7m needed to be found from employee budgets.

Employees whose jobs are at risk were informed of their position on 24 August and a 30-day consultation period on the proposals has now started.

Fareham expects that any redundancies will take effect on a phased basis from the end of October 2010 through to the end of March 2011.

Cllr Sean Woodward, Executive Leader of Fareham Borough Council, said: "The council has a long history of good financial management and of achieving efficiency savings which has enabled us to avoid redundancies in the past. However the dire national economic situation is such that we are now faced with having to find an estimated £2.4 million in savings over a three-year period.

“The bulk of those savings will need to be found from employee budgets as this is by far the largest area of council expenditure. This has regrettably left us with no option but to identify these 'at risk' posts and advise the post holders accordingly."

Fareham had already saved £1.1m by deleting vacant posts, making changes to departmental structures, and offering redeployment and flexible retirement.

Taken together with the latest announcement, this programme should see Fareham’s headcount reduced from 538  to 445.