Government strives to balance the books this year.

In his budget tabled yesterday, Finance Minister the Hon. David Saul predicted this year's revenues would be $2.4 million lower than last year's overly optimistic target of $354.9 million.

And while revenue has dropped in the slow economy, pay-outs for social assistance are up sharply. Given those factors, "the budget emphasis in the coming financial year has to be financial restraint'', Dr. Saul said.

As well as extending overtime controls begun in 1990, Government is studying each job as it becomes vacant to see whether it truly needs to be filled, Dr.

Saul said.

"This process will reduce the number of employees over time through attrition, rather than expensive redundancy,'' he said. "While this step may have some impact on the level of services provided to the public, it is expected that Departments will work to minimise these effects through increased efficiency and improved productivity.'' The budget document calls for a three percent cut in the total number of Government employees, to 4,497 from 4,624 at the end of the last fiscal year.

Those cuts, some of which are already made, are to be accomplished without layoffs.

Total spending on operations is still expected to rise this year, by $2.8 million. The $331.75 million spending forecast is 0.8 percent more than Government expected to spend last year, and just 0.6 percent more than the $329.

9 million it finally did spend.

But Government found cuts of $17.85 million across all departments and Quangos, and when the effects of inflation are eliminated, spending will actually shrink this year by about 2.5 percent, Dr. Saul said.

While some new employees will be hired, job cuts through attrition are to be spread throughout Government. All ministries but the Ministry of the Environment are expected to have fewer employees this year than forecast when the 1992-93 budget was handed down.

Hardest-hit in percentage terms will be the Ministry of Works and Engineering.

Its manpower is to fall by 4.6 percent, to 583 from 611 at the time of the last budget.

The Ministry of Delegated and Legislative Affairs is to be chopped by 4.5 percent, to 788 from 825 last year. The Police are to take the brunt of that cut, losing 35 jobs, while Fire Services is cut by three.

The Ministry of Youth, Sport and Recreation loses 4.3 percent of its workforce, dropping to 87 employees from 91. But like many of the job cuts through attrition, those reductions were already accounted for in the revised estimates for 1992-93.

Jobs at non-ministry departments are to be cut by 4.2 percent, to 136 employees from 142 last year. The Cabinet Office, where three jobs are to be cut, takes the brunt of that hit.

The Ministry of Finance loses 4.1 percent of its workforce, shrinking to 519 employees from 541. There, the Post Office takes the biggest hit, but most of those cuts were accounted for in last year's revised estimates as well.

The Ministry of Labour and Home Affairs is to be cut by 4.0 percent, to 97 employees. There, Immigration is to lose three jobs and ministry headquarters one.

Despite the increased welfare burden, the Ministry of Health, Social Services and Housing is to shrink by 3.0 percent, to 510 employees from 526. The Ministry of Management, Information Services and Telecommunications loses one employee, as does the Ministry of Tourism, while the Ministry of Transport loses 11 workers, or 2.5 percent of its former allotment.