Town Manager Buzz Stapczynski contends that concessions will be needed from Andover employees to avoid dozens of layoffs next year and informal talks are under way with unions.

Discussions will likely pick up next month and a plan must be reached between now and Town Meeting in late May, he said.

The equivalent of 58 full-time employees could be let go under Stapczynski's recommended $139,951,407 budget for fiscal year 2010.

Among the potential job losses are five public safety employees and the equivalent of 41 full-time school-department employees.

Stapczynski said he met with all municipal unions in December for "a frank discussion" about Andover's budget deficit and the potential for layoffs. To avoid layoffs, Superintendent Claudia Bach indicated in her budget request for next year that "salary freezes, furloughs, reduction of in-service days, change in teaching schedules, planning time, duties, and health insurance benefits" may be necessary.

Representatives from the Andover teachers' union will meet next week with school officials to discuss the potential formation of an early retirement that could save the department money, according to Tom Meyers, president of the Andover Education Association.

"It's just exploring on both sides to see if it's viable," said Meyers. "Obviously, people want to see the education system maintained." Meyers said he was unsure how many teachers would potentially consider early retirement, or how much those retirements would save the school department.

"We'll have to crunch the numbers," said Meyers.

When asked if the teachers' union would consider a salary freeze or changes to health insurance, Meyers chose not to answer directly.

"We have a contract in full force," he said.

Firefighters' union president Thomas Agnew said he would need more information from the town before proposing changes to firefighter salaries and health insurance to the union's executive board. Any changes approved by the board would then require approval from Andover's 70 firefighters.

"I haven't seen any cold hard facts that Andover is in deep trouble," said Agnew.

A call to the president of the Andover police patrolmen's union was not returned by deadline for this story.