‘Bankrupt’ Birmingham council plans up to 600 job cuts

10 months ago 40
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Deborah CadmanImage source, Birmingham City Council

Image caption,

Chief executive Deborah Cadman said they were entering into consultation with unions about the redundancies

By Maisie Olah and Simon Gilbert

BBC News, West Midlands

Birmingham City Council said up to 600 jobs could be made redundant as it struggles with its huge debt

The authority added it would start conversations with unions and staff immediately.

Chief executive Deborah Cadman said no decisions would be made until the end of a period of consultation.

"The council faces exceptional financial, cultural and governance challenges," she added in a letter to staff on Tuesday,

Independent commissioners were brought in to help the authority plug a £300m gap over the next two years.

Image source, PA Media

Image caption,

The council said it would start talks with unions immediately

Ms Cadman said the 600 jobs did not include posts deleted through a revamp of the organisation that were already vacant or vacancies.

"I understand that this news will be unsettling, and I want to reassure you that we are here to support you through this process," she said.

Staff will be invited this week to attend a briefing with their director and people services representative to hear how the consultation period would work, the council said.

The briefings will be held either later this week or next and staff were urged to attend them and ask questions.

On 22 January, Ms Cadman will host an online meeting alongside the authority's director of people services Katy Fox.

The authority has the most debt of any council in the country, according to BBC analysis.

The council owes more than £2.9bn to lenders, placing it ahead of Leeds on £2.2bn and Woking on £1.9bn.

However, council bosses said it is no surprise it was top of the list as it was the largest local authority in the country.

A spokesperson for the council said: "We understand that this news will be unsettling, and I want to reassure you that we are here to support you through this process."

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