The Department of Infrastructure has to find £5 million-worth of savings in the coming financial year.
The cuts, and changes to the structure of the department, have already prompted Director of Highways Richard Pearson to hand in his resignation.
He says the moves have made his position 'less tenable'.
Minister David Cretney says savings made by the consolidation of some services and divisions will be affected by what's being absorbed from other departments:
Clip 1
Ben-my-Chree sailing cancelled due to 'technical issues'
All Manannan journeys are going ahead as planned
81 'unsafe squishy toys' seized
Parents urged to check for unsafe items
Manx Utilities open 'prior information notice' for Garff Sewage Treatment works
It says it's not a 'competitive tender process' at this stage
Island takes centre stage as TT film crew to return
Filming of 'Isle of Man' to continue next month