The decision to axe more than a third of Croydon Council’s entire staff will push the borough’s services back 30 years, according to trade union GMB.

About 1,500 posts are under threat according to new figures released by the union - 100 greater than previously announced by the council - with 500 set to go as early as March.

Croydon will be slashing the second highest number of posts in London according to the GMB’s figures, with only neighbouring Lambeth revealing plans to lose more.

The job losses are part of the deepest cuts in the borough’s history, with the council attempting to slash £70m from its services by 2014.

Plans brought before the council’s cabinet in September include transferring staff to private firms, social enterprises and joint-ventures and “rooting out wasteful processes, bureaucracy and unnecessary back-office and management costs”.

Paul Maloney, the GMB’s senior public services officer for the south of England, said: “This is driving Croydon’s community back 30 years - it’s taking Croydon Council back to the bad old years when the services were run on a shoestring.

“We have had investment over the last 10 to 15 years in Croydon Council, and every council, and all of a sudden the council is saying there are massive needs for cutbacks.

“It’s an insult to the population and electorate of Croydon that [the council] is willing to see their communities take a cut in their living standards.

“They’ve got no regard for the services that they have got to provide.”

Mr Maloney added turning Croydon Council’s decision to commission service rather than provide them directly would see staff pay and conditions suffer, although they would initially be protected by contract law.

A Croydon Council spokesman said it expected to make up to 600 redundancies before March 31, with between 250 and 350 voluntary and up to 250 more “at risk” as departments are restructured.

He said: “The actual number of redundancies was, and still is, anticipated to be fewer than this. “The Council is continuing to consult with staff and the trade unions over a variety of reorganisation proposals and is committed to avoiding and mitigating the effects of any compulsory redundancies where possible.”

Pay and conditions

Croydon Council’s Unison union members have backed down from threats of strike action after the authority watered down “savage” cuts to staff terms and conditions.

The council faced stiff resistance from the union when it announced plans to cut sick pay, overtime and annual leave to save £1.7m a year.

Croydon Unison branch secretary Laurie Pocock, who described the plans as savage and bizarre when they were announced last September, said the climbdown was a huge win for staff.

He said: “The offer has been restored substantially - it’s been largely watered down and I regard that as a victory, especially with regards to sick pay which they threatened to reduce by half.”

A council spokesman said the agreed changes would minimise job losses and reduce adverse impact on services.