Significant cuts in staffing across the public sector have been signalled in plans set out by Finance Secretary John Swinney to find £1.6bn in efficiency savings over the next three years.

Significant cuts in staffing across the public sector have been signalled in plans set out by Finance Secretary John Swinney to find £1.6bn in efficiency savings over the next three years.

It is claimed the changes can be made without compulsory redundancies, but details for some departments and quangos show-ed how managers are required to do at least as much at lower cost. In many cases, vacancies will not be filled, to reach the ambitious targets of 2% efficiency improvements each year. For other departments, the targets are high but the opposition attacked the lack of detail, claiming the SNP is ducking tough choices.

The plans show there will have to be asset sales, departments and agencies sharing offices and a merger of back office services. Among the less-clear ele-ments, local government is expected to find £178m in savings this year, rising to £524m by 2010-11, but the detail is being left to individual councils. According to the Scottish Government, the impact on staffing "will depend on the specific circumstances in the local authority at that time".

Mr Swinney's plans are going to be be a driver of change across Scotland's public sector over the next three years, but their significance was played down yesterday with a low-key publication.

It showed he has toughened his efficiency drive since last November's budget, raising this year's target from £534m to £601m or 2.25% of spending - much of the increase affecting the environment department. The aim is to secure £1.6bn in savings after three years, which Mr Swinney must do to meet his objectives before the 2011 election - including the freeze on council tax and higher police numbers.

The health service also faces demanding reforms, but again, there is limited detail about the impact on staff. Health boards are expected to find £154m in efficiency savings this year, rising to £478m by the 2010-11 financial year. A bid to reduce sickness absence is expected to cut the cost of paying overtime and agency staff, saving £62m per year. Smarter, centralised procurement should release £54m by 2011.

Consultants are being told to improve throughput of patients, reducing overnight stays, with day surgery "becoming the norm". Twenty health boards are forming three consortia to share finance services, while they must reduce their drugs bill by £25m.

Mr Swinney said: "By cutting waste, simplifying government and ensuring practices across the public sector are as efficient as they can be, we will deliver £600m in savings over the next year - money that will be invested back into making a real difference to people's lives. This is a demanding programme that will require everyone in the public sector to play their part."

Tory Derek Brownlee said the SNP administration was late to embrace the efficiency cause, while LibDem finance spokesman Tavish Scott said: "This is not an efficiency plan. It's an over to you and nothing to do with me' plan."