Cuts to South Australia's public sector's jobs and entitlements in the state's budget has resulted in threats of industrial action from the public sector's union.

 

SA Unions has threatened a day of state-wide public sector after  South Australian Treasurer Jack Snelling handed down an austre budget that was pushed into deficit by a drop in GST earnings.

 

Premier Mike Rann responded by flatly denying any chance of negotiation over the cuts.

 

The Budget announced an expected loss of 400 jobs on top of the 3750 already announced in last year's delayed budget, which saw Mr Snelling's predecessor, Kevin Foley, step down amid a heated campaign by the unions.

 

Mr Snelling has urged the unions to avoid a day of striking, currently scheduled to take place on July 29, saying that he is committed to negotiating.

 

The concerns come as the Government fears a $225 million blow out if current wage-estimates vary by 1%.

 

The state has also warned of larger cuts to Health in the next financial year, with an estimated 393 jobs to be made redundant.