Emanuel said Friday that he would begin the layoff process by sending out notices, which inform workers of layoff plans 30 days in advance, according to the Chicago Sun-Times.

Until last month, city workers were forced to take 24 furlough days without pay. The furlough policy, which former Mayor Richard M. Daley put in place, saved the city an estimated $60 million a year. Emanuel scrapped the furlough and wage freeze program, saying that it killed morale and was not a solution to the city's budget crisis. Instead, he asked that the Chicago Federation of Labor agree to work rule changes--and gave them until this Friday to let him know how they plan to save the city $11 million.

Without an answer from the union, Emanuel said he was forced to make a move. NBC Chicago reports that Emanuel will privatize benefits management, the water management department call center and custodial services at city buildings, including libraries. He will also outsource custodial services at O'Hare and Midway airports. The plan is expected to save $10 to $12 million.