Dudley Council sets £8m aside for redundancy costs

Thursday 30th June 2011, 11:30AM BST.

Dudley Council sets £8m aside for redundancy costs

Almost £8million looks set to be spent by a Black Country council to cover the cost of workers leaving through redundancy.

More than 300 workers have left Dudley Council as part of plans to shed more than 400 posts by April next year.

It was revealed earlier this year that the council had expected it would need to borrow up to £6m to cover the costs associated with people leaving. However, a council report, which went before the cabinet last night, stated that the latest estimate would set the authority back nearly £8m.

The money will help pay for pensions and payouts for workers as they leave. The extra cash to plug the shortfall will come from a pot of money the council had set aside to spend over the coming year but hasn’t been needed yet.

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