City leaders admit council to face redundancies but refuse to put number on job losses

The city’s second biggest workforce is bracing itself for cutbacks as council bosses look to find at least $75m worth of savings in the next 12 months.

Mayor Tom Tate and Deputy Mayor Mark Hammel discuss council’s budget. Picture: Andrew Potts

The city’s second biggest workforce is bracing itself for cutbacks as council bosses look to find at least $75m worth of savings in the next 12 months.

Workers at Gold Coast City Council, which employs almost 4000 staff, will be briefed on Monday as “formal consultation” begins on how the money will be saved.

At least 100 workers in non-essential services will be targeted for voluntary redundancies, with a staffer saying late on Friday: “They have started the cull. People are genuinely concerned for their jobs.”

The need to make the savings was identified by councillors as part of the city’s budget, which was handed down on Friday.

However Mayor Tom Tate, Deputy Mayor Mark Hammel and council CEO Tim Baker stressed there will be no cutbacks to frontline services.

When asked how many staff council could lose, Mr Tate replied: “There is (redundancies), but I’m not going to give it to you. Staffing matters, wouldn’t be fair. You know, I don’t want staff to go.”

Council chief executive officer Tim Baker. Picture: John Gass.

Mr Tate said his concern was that high-achieving staff might think “look how big the numbers are” and start searching for other jobs.

“I don’t want to lose any good quality staff,” he said.

Mr Hammel said much of the budget talks had been about managing long term debt and organising operational efficiencies without cutting capital expenditure.

“Where we have found savings is operational costs. Find efficiencies, find savings, make some hard decisions about what is in, what is out, to keep our operational costs down,” he said.

“There is no reduction of front line services. Every library remains open, every aquatic centre remains open. It’s about finding smarter long term savings.”

Mr Tate said Mr Baker had to “rationalise his staff” using strategies like natural attrition and working more efficiently with AI.

“I’m confident there will be a more efficiency dividend there, meaning less staff. Only because we put a lot of staff on earlier, in the last three years,” Mr Tate said.

Beach erosion at Main Beach after the cyclone. Picture: Glenn Hampson.

Mr Baker said the city would realise millions of dollars in savings if a suite of proposed initiatives in the 2025–26 budget was implemented.

This ensured the average general rate increase of 2.7 per cent, although when charges are taken into account, the increase was close to 7 per cent.

“Through these savings, council has been able to limit rate increases and reduce the cost burden on our community,” Mr Baker said.

“The combined effect of the proposed measures … will save the average ratepayer more than $300 a year.”

Mr Baker said the city was in a strong financial position, but dealing with circumstances that placed a strain on finances.

Contributing factors include low CPI, rising salary costs, and broader inflationary pressures. Another factor was the bill from Cyclone Alfred which had reached $25m so far, much of it beach repair.

Among the cost-saving proposals up for consultation are:

● Vacating council’s Karp Court building in Bundall and relocating staff to the Waterside East and West buildings.

● Merging Service Gold Coast and the planning and regulation departments, and

● Finding rostering efficiencies and reducing fixed term award staff.

“These are significant proposals, and no final decisions have been made,” Mr Baker said.

“We will consult with staff not only on how these changes might be implemented, but also on whether they should occur at all.”

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Originally published as City leaders admit council to face redundancies but refuse to put number on job losses