The state of Vermont is backtracking on its earlier prediction that they would need to make 200 layoffs. They are now saying that far less layoffs are needed to compensate for the $7.4 million savings in mandated labor savings.

According to Deputy Secretary Tom Pelham, officials will announce the actual number later this week after the Department of Finance completes a review of recommendations submitted by managers from across state government.

“There will be far fewer reductions in force than have been discussed because of our strategy of going to existing vacancies in the system,” said Pelham. He claimed that the savings would be “achieved in the kindest, gentlest manner that we can.”

The prospect of layoffs has hovered over state employees for over a year as the state deals with revenue declines.

Since 2007, 698 positions have been cut and 130 employees have been laid off.