Bury council is looking to cut jobs as part of efforts to manage its struggling financial position.
The Manchester Evening News has been told an email offering staff the chance to engage with a voluntary redundancy scheme was sent to all permanent council employees. A source claimed it had been sent to 'everyone from the chief executive to cleaning staff'.
A council spokeswoman confirmed the authority had launched a 'time-limited Voluntary Exit Scheme' and was now 'collating and reviewing applications'. The move comes against a background of 'significant financial pressures', she added.
Overspend and savings gap
Recent financial reports from the council showed it was overspending on its budget in the first part of the financial year. Expected savings from last financial year had also not all been realised and a savings gap was again expected at the end of the current financial year, documents added, meaning ongoing costs remained higher than hoped.
The documents showed the projected overspend at the end of June was almost £5.7m for the coming financial year if no further savings were made. The vast majority of that, £4.7m, related to health, adult social care and children's services pressures with the cost of meeting demand 'continuing to spiral'.
Meanwhile, reserves – cash pots often used by councils to bridge the gap between income and outgoings – are 'dwindling', councillors have been warned. Speaking in a cabinet meeting last month, lead member for finance Sean Thorpe said the authority was getting 'closer to a point where far more radical solutions are required' for the council to be financially sustainable.
Voluntary exit scheme details
There is no target number for staff reductions at this stage, the spokeswoman said. The voluntary exit scheme is part of a 'wider programme' of money management, with cost reductions, vacancy management and service redesign all being looked at.
Applications from those looking to take up the offer will be considered in line with the 'needs of individual services' and 'must deliver a tangible financial saving for the council', she added.
The LDRS asked if there was a risk of compulsory redundancies if necessary savings were not achieved. The spokeswoman said: "As we approach budget setting for 2027/28, we will consider all appropriate cost-saving options before any proposals or decisions are made."
The council spokeswoman said: "Bury council, like local authorities across the country, continues to face significant financial pressures from rising costs, increasing demand for services and constrained funding.
"As part of our work to set a balanced budget for 2027 and beyond, we offered permanent employees the opportunity to apply for a time-limited Voluntary Exit Scheme. Applications have now closed and we are beginning the process of collating and reviewing applications.
"Any applications are subject to the needs of individual services and must deliver a tangible financial saving for the Council. The scheme forms part of a wider programme to manage our financial position and transform the organisation, alongside vacancy management, cost reduction and service redesign.
"Our focus is on ensuring the council remains financially sustainable while continuing to deliver the services residents and communities rely on."
More information on Bury council's budget position and plans for the coming years is expected shortly.
