More than 6,000 Birmingham City Council staff are likely to lose their jobs over the next four years as the Government's austerity measures drive a further £460 million cuts, it has been announced.
With 7,000 staff already axed since 2010, council leader Sir Albert Bore said it had already lost the equivalent number of people axed when Rover collapsed in 2005 and was now set to double that number.
The Labour leader said it was likely 3,000 jobs would go next year while services were likely to be discontinued.
He said talks with the Department for Communities and Local Government had failed to secure a better deal for the city and that expected cuts of £150 million next year were now likely to be nearer £200 million.
Coun Bore (Lab, Ladywood) said: "There is a ticking time bomb under this council. Already our workforce has declined from just over 20,000 to around 13,000. By 2018, we estimate that numbers will have to fall to around 7,000.
"This means we will be operating with a workforce less than one third the size of that in 2010 and one half of what it is today. The equivalent of taking out twice the workforce that lost their jobs at Longbridge in 2005."
He said that, so far, they had managed the reductions by outsourcing some services and demanding more of remaining staff but this would be unsustainable in future.
Instead, the council will begin consultation with residents and staff over the next few months over where the cuts will be made and priorities for citizens.
It was also pointed out that only of the 3,500 current staff are under 40, meaning that, in one of the youngest cities in Europe, the staff does not reflect the people it serves - and Sir Albert pledged that new staffing arrangements would support young people.
With only eight per cent of the council's income from council tax, and 25 per cent from paid services, the city council is heavily reliant on Government grants for two thirds of its annual budget.
"One of the great tragedies of these cuts is that they come at a time of great economic opportunity for Birmingham," he added.
"When I look at the City of Birmingham, I do not see the tired stereotypical picture painted by certain lazy London commentators. I see a city of dynamic entrepreneurs and creative young people."
He added that the council was full of 'dedicated, hard-working public servants who are passionate about their city' and highlighted work on HS2 and further investment in manufacturing and commerce coming through over the next few years which would boost the local economy.