Lincolnshire learning disability charity Linkage has shed almost 40 jobs.
The 39 staff, from the care and education services area of the charity, were made redundant because of a drop in students living in the charity's residential houses. As reported, a consultation over the job losses was launched in May this year.
But the redeployment of some staff has meant job losses are around half of what the charity had originally been expecting to lose.
The organisation needs to save £1.3 million as it continues to face increased financial challenges resulting from a change in the demands for places within its education services.
Five years of limited fee increases and changes in the ways that student referrals are made to Linkage College have put a strain on the charity.
Student numbers have fallen for residential accommodation at college campuses at Grimsby's Weelsby Road and Toynton All Saints, near Spilsby, while the figures for day learners continue to rise.
Ges Roulstone, chief executive, said: "This whole exercise has been difficult for everyone and I pay tribute to the team for their understanding.
"In addition, through careful budget management
, we have generated a surplus this year and some of the savings made have been ploughed back into the payroll to give the lowest-paid employees a salary increase.
"Linkage's senior managers are working hard to refocus services in the face of continued public sector financial pressure, as we reduce our dependence in specialist further education on residential student numbers and increase the number of local learners.
"In partnership with different organisations, we have started work on a new-build developments worth nearly £5 million in total in Grimsby, Lincoln and at South Staffordshire, as Linkage looks to grow its business to meet demand and target new areas."
