Liverpool City Council offers managers redundancy terms

Liverpool City Council has offered voluntary redundancy to all staff earning annual salaries above £40,000 in an attempt to slash costs.

Letters have been sent out inviting managers to apply for the scheme as a "streamlining" measure.

Earlier this month the council offered compensation to 80 senior staff earning over £60,000.

Social workers and front line staff are not eligible, the council said, in order to preserve essential services.

The council's executive management team has accepted a 15% pay cut after volunteering to forego performance bonuses; a move which has saved £150,000.

'Least impact'

Council leader Joe Anderson said: "There are tough times ahead for local government and we are acting now in readiness for the reductions in spending which we know are coming down the track.

"We are concentrating our efforts on taking out posts which will have the least impact on the most vital services.

"We are focused on streamlining the organisation, but the bottom line is that we will try wherever possible not to have reductions in staff that impact on the quality of the services we deliver."

A council spokesman said: "Each application for early release from employment will be considered individually on its merits and will only be approved when it is in the best financial interests of the council and delivers real savings.

Applications for redundancy can be made until 31 August 2010.

The spokesman said the offers may then be withdrawn and that future compensation schemes are not guaranteed.