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Denver Lays Off 171 Workers, Eliminates 665 Vacant Positions to Narrow Budget Gap

Officials project about $100 million in savings to help balance the 2026 budget.

Ronnie Houston, a 50-year teamster, center, addresses the crowd during a rally on the steps of the City and County Building in Denver on July 8, 2024. Dozens of workers and supporters of the Stronger Denver Campaign rallied to support a Denver City Council measure to let voters decide to extend collective bargaining rights to all non-supervisory city and county of Denver employees. The rally was held in advance of a final Denver City Council vote on the ballot measure. Currently, the Denver Charter only grants collective bargaining rights to Denver Fire, Police, and deputy sheriffs. This measure would allow voters this fall to extend the basic labor rights and protections to solid waste collectors. social workers, librarians and workers in non-supervisory roles. (Photo by Helen H. Richardson/The Denver Post)
Denver Mayor Mike Johnston speaks during the State of the City address in the Seawell Ballroom at the Denver Center for the Performing Arts on Monday, July 21, 2025. (Photo by AAron Ontiveroz/The Denver Post)
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Overview

  • City leaders confirmed 171 layoffs, the elimination of 665 vacant roles and the shift of 92 jobs to other funding sources, a package the mayor’s office says will save about $100 million.
  • The actions address a $50 million shortfall this year and a projected $200 million gap next year, leaving roughly $100 million in additional reductions still to be identified.
  • Laid-off employees will receive 30 days of paid administrative leave and up to eight weeks of severance based on tenure, and all uniformed officers are exempt from layoffs and furloughs.
  • Departments are scheduling furloughs that will halt compost collection the weeks of Aug. 25 and Nov. 24 and pause recycling the week of Nov. 24.
  • Several City Council members criticized the timing and process of the cuts, and the mayor’s full 2026 budget proposal is due Sept. 15 with council deliberations to follow.