Infrastructure Canberra will cut the number of staff it employs, with the agency becoming the next in the ACT public service to offer voluntary redundancies.
But staff have not been told how many jobs would be cut from their agency, which oversees large infrastructure projects in the territory.
The main public sector union warned the job cuts could risk delaying major city projects, including the new North Canberra Hospital and Commonwealth Park aquatic centre.
Community and Public Sector Union regional secretary Maddy Northam said the union was deeply concerned by the job cuts.
"At a time when this government is talking about major projects for our city, it is ludicrous that they are planning to cut jobs in the very agency that delivers them," Ms Northam said.
"Workers' initial reaction is deep shock. They are concerned about the workload for the workers left behind and the lack of transparency.
"This government should be investing in more public sector workers, not cutting jobs. iCBR and Chief Minister Andrew Barr must come out and tell Canberrans how many jobs they are cutting and which infrastructure projects may be delayed or cut as a result."
Infrastructure Canberra said there was no targeted number of jobs to reduce in the voluntary redundancy program.
"The number of redundancies will depend on how many expressions of interest are received and subsequently supported through the assessment process," a spokesperson for the agency said.
All permanent, non-executive staff would be eligible to put their hand up for a voluntary redundancy, with a case-by-case assessment for all applications.
"Decisions will consider workforce requirements, operational needs, and whether roles are critical to service delivery or the delivery of infrastructure projects," an Infrastructure Canberra spokesperson said.
"The process is focused on ensuring Infrastructure Canberra's workforce remains sustainable and aligned with future priorities so we can continue delivering the infrastructure projects Canberra needs."
The 2024-25 annual report said Infrastructure Canberra had 541 staff and 531.9 full-time equivalent positions.
The significant growth in staff from the previous financial year was primarily the result of machinery-of-government changes.
The ACT budget in June included funding for public service heads to offer voluntary redundancies as part of the government's effort to keep agencies within stricter budget limits.
Public Service Minister Rachel Stephen-Smith said at the time it was up to public service bosses how many jobs would be cut and that "many public servants actually jump at the opportunity to take a voluntary redundancy when it's available".
The budget included funding for a restructure program that will offer funding for voluntary redundancy packages across the ACT public service.
The program is expected to cost $35.4 million over four years but deliver net savings of $6.4 million.
"Staff participation will be voluntary, and decisions will be guided by the need to maintain delivery of priority government work and essential services," the budget said.
Ms Stephen-Smith said directors-general would make decisions about whether or not they need to offer voluntary redundancies or could manage costs with natural attrition.
"Each of the directors-general is currently working through what their final budget outcome is, and each of them will make their own decisions in consultation with staff," she said in June.
The City and Environment Directorate announced between 3 and 5 per cent of the workforce, or roughly 130 roles, would be cut to "manage current budget pressures" on May 28.
Before the budget, Treasurer Chris Steel said voluntary redundancies would be among the tools agencies could use to meet stricter, front-line-focused budgets.
"The decisions that we're making in the budget won't see deep cuts to services," Mr Steel said.
