DENVER (KDVR) — Denver city and county employees are anxiously waiting for layoffs, which the mayor’s office said are set to take place this week, starting as soon as Monday.
Denver Mayor Mike Johnston sent a letter to city and county employees in July, citing layoffs taking place the week of Aug. 18. As Monday rolls around, many city workers are waiting for more information on the layoffs.
While the city hasn’t provided much information on the layoffs, here’s what we know so far:
Who is getting laid off?
The city and county of Denver have been tight-lipped about who is getting laid off this week, but according to the letter sent in July, it’s going to be Denver city and county employees.
While we don’t know who will be laid off among Denver employees, it may look a little different. The Denver Career Services Board just voted to change how layoffs are decided at the beginning of July. Previously, the city had a seniority-based system, but now, it’s based on merit.
Why are there layoffs?
The layoffs come due to the city’s hundreds of millions of dollars in budget deficits. The mayor said these layoffs are taking place due to the slowdown in the economy that has affected the city budget, with “flattening city revenues driven by national economic uncertainty and rising costs.”
In May, the mayor said there will be furloughs as the city will have a $50 million revenue gap and a $200 million deficit to manage in 2025. He said the city has seen a 0.3% revenue increase, a huge shortfall compared to the projected 3.6% in 2025 and 5% increase in 2024.
The city said it slowed hiring in 2024, reduced government size in 2025 and froze hiring this year, but since almost 70% of the General Fund budget goes toward personnel costs, the city said layoffs were necessary to meet the $200 million budget shortfall for 2026.
When will the layoffs take place?
The mayor’s office said layoffs will take place on Tuesday and Wednesday.
The layoffs may take place remotely, as one city employee told FOX31 that they received an email from the Parks and Recreation director telling their employees to work from home if they can. Meanwhile, FOX31’s Kasia Kerridge reported hearing that laid-off employees will get a Teams call.
Kerridge also reported hearing that once the laid-off workers are notified, everyone else will get an email from their director saying that the layoffs are done.
What positions are impacted?
On Monday afternoon, the city and county of Denver announced the official numbers in correlation with the layoffs in a press release. Those numbers include:
Number of positionsPercentage of workforce impactedTotal filled positions elimnated/layoffs1711.6%Total vacant positions eliminated6656%Total transfers off the General Fund to other aligned funding resources920.8%Total9288.4%
It’s unknown which departments could face layoffs.
What resources are available?
The city said that when workers are notified, it will be their last day. They will then get 30 calendar days of paid leave with salary, benefits and time off accrual. Medical, dental and vision coverage will continue through Sept. 30.
There will also be severance packages:
Length of Service Severance Post probation, less than 1 year 1 pay period (2 weeks of pay) 1 year to less than 5 years 2 pay periods (4 weeks of pay) 5 years to less than 15 years 3 pay periods (6 weeks of pay) 15 years or more 4 pay periods (8 weeks of pay)
The city said the Department of Economic Development and Opportunity’s Workforce Development division has also assembled an Employment Transition Assistance team that will help with the job search, training opportunities, unemployment filings and wellness and mental health resources.
Many of the details are still up in the air, and we’re working to confirm more information. FOX31 reached out to the city for clarity on what workers are hearing, but the city said it wants to go over plans with workers before it gives the public any details.
