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Birmingham City Council is planning to cut up to 2,000 jobs over the next year.
The job losses will form part of a major cost-cutting drive. The council said between 1,500 and 2,000 funded posts were "likely" be cut at a time when the authority is "moving towards more of a commissioning role in the delivery of services".
Council leader Mike Whitby said:
"We are well aware that all the forecasts indicate the next few years will be tough for local government financially. Quite simply we have to do more for less.
In our budget we have, therefore, planned strategically and propose budgets that address the key priority areas that we have laid out in our Council Plan."
Last month it emerged that 1,300 staff at the council had been issued with Section 188 notices, notifying them that they were at risk of being made redundant.
A council spokesman said: "Any of those 1,300 posts that are made redundant will form part of the 1,500-2,000 figure being quoted today."
The financial plan also proposed a below-inflation council tax increase of 1.9%, subject to approval on February 23.
Mr Whitby said:
"Birmingham is demonstrating how frontline services and significant regeneration schemes can be delivered without punishing taxpayers. I am proud that we are able to do this."
Birmingham City Council is Europe's largest local authority, employing around 35,000 people, not including school staff.
Commenting on the 2000 job cuts announced at Birmingham City Council, UNISON General Secretary, Dave Prentis, said:
“This is a massive number of job cuts, and the council cannot be serious. It is absolutely wrong to push local government workers onto the dole queues. Birmingham needs its local government workers working – providing the vital services families in the community need to help them recover from the recession.
These job cuts could force the city into a downward spiral, shops and businesses will suffer as local people will struggle to afford the essentials.
“It is outrageous that our members found out about this shocking news through the media. We will be seeking urgent meetings with the council, and are calling on them to put a stop to their plans.”