LONDON, ONT. -- Notices have been sent to 200 full-time municipal employees being temporarily laid off next week.

The 200 positions impacted come from union, non-union, and management ranks.

"This is a difficult decision, but this is necessary," explains city Manager Lynne Livingstone in a news release.

City Hall is cutting costs to cope with an estimated $23-$33 million budget shortfall caused by the pandemic.

Livingstone adds, "With the ongoing impacts of COVID-19 and provincial emergency orders, we’ve been delivering essential services and minimal operations, and we remain committed to that."

Dubbed ‘Designated Emergency Leave’ (DEL), the process is described as being different from a layoff.

In an internal email obtained by CTV News by CUPE Local 101 President Adam Brightling to inside workers outlines the process.

“Affected employees will be notified by their managers today, and DEL will go into effect next week (May 11)...This DEL process, unlike a layoff, will allow people to apply for the (federal) CERB benefit, but maintain their benefits and seniority."

The union’s email hints at impacts to municipal services.

"While some city services have slowed down, others are temporarily ceasing due to lack of work."

Unionized employees placed on DEL will be recalled to work when Ontario ends the state of emergency and associated orders.

Last month, just over 1,300 casual, temporary, and student employees had their start dates delayed or were laid off.

Livingstone says that the level of municipal services provided since the pandemic began will not change.

Remaining staff will be realignedMonday’s staffing reduction will be the first to impact permanent full-time employees.