1,ooo city jobs face axe; Employment joy marred by council shock.

Byline: DAVID BARTLETT AND ALEX TURNER

LIVERPOOL City Council is to cut 1,000 jobs over the next three years.

The city's biggest employer will reduce its workforce by around one tenth in a bid to tackle what is regarded as a looming financial crisis.

The news marred what had been a positive day for the city as the latest unemployment figures continued to show the city region outperforming other areas during the recession.

The jobless total in the Liverpool city region dropped for the second consecutive month while nationally the figure climbed for the 20th month in a row to reach a 12-year high.

Union leaders will meet Liverpool council bosses next week to discuss the planned job cuts which it is hoped can be made mostly through natural wastage and non-replacement of staff.

But Lib-Dem council leader Warren Bradley said there would inevitably be "some casualties" as the city tries to tackle a budget deficit of pounds 11m in the next financial year alone.

Labour opposition leaders criticised the "financial failure" of the current administration.

Deputy Labour leader Cllr Paul Brant said: "It is a sign of financial failure that we are facing this situation after the billions of government and European funding pumped into the city in the last 10 years."

CAPTION(S):

Warren Bradley: 'some casualties'