NASHVILLE — Bredesen administration officials said they hope most of the 1,521 state employees who have been approved for voluntary buyouts will be notified by today.

They said the first-of-its-kind buyout program will save the state $47.4 million in a tight budget year. Friday will be the last day of work for most of the approved employees, officials said.

Gov. Phil Bredesen created the buyout program as a means to try to avoid employee layoffs. Citing flagging state revenues and an economic slowdown, the governor has said he needed 2,200 to 2,300 employees — about 5 percent of the state’s work force — to participate and help save the state an estimated $64 million annually.

The buyout will cost the state $38.1 million in one-time funds and save about $47.4 million annually, according to the state.

Finance Commissioner Dave Goetz said the response to the buyout program has put Tennessee about 75 percent of the way toward the $64 million savings goal. The reductions are part of an estimated $468 million in cuts made to Gov. Bredesen’s originally proposed 2008-09 budget.

“This is 1,500 people who will not have to be laid off, and I think it moves us significantly down the road,” Mr. Goetz told reporters.

A total of 2,204 employees applied for the buyouts, with 1,521 accepted. Officials listed only positions that were being abolished and, in some instances, more employees than needed applied, according to Human Resources Commissioner Deborah Story.

For example, 295 Correction Department workers applied, but the state accepted only 147. The Human Services Department has the most employees taking the offer at 221 people.

The commissioner said the state is looking for ways other than layoffs to achieve the remainder of the $64 million in needed savings, but he did not rule out layoffs.

A spokesman for the Tennessee State Employees Association said the group doesn’t believe layoffs are necessary.

“We thought we were pretty close, and we’re happy it worked as close as it has,” spokesman Chuck Rainey said, noting there is only about a $16 million difference between what the governor sought in employee reductions and the final buyout figures.

There are “definitely ... other places in the budget” where the $16 million can be found, Mr. Rainey said. “We don’t have to lay people off.”

While Gov. Bredesen and Mr. Goetz previously have warned layoffs would be necessary early next year if not enough employees applied for buyouts, Mr. Goetz said the state also is looking at other “options” such as cancellation of some contracts and abolishing some vacant positions that were put under a hiring freeze back in May.

The Legislature put a freeze on any layoffs until it reconvenes after the new year.

“We’ll work on getting the rest of the savings,” Mr. Goetz said. “We’re obviously limited on being able to do layoffs until Jan. 1. That’s a long time between now and then.”

Efforts to reach local employees accepting the offer were unsuccessful. Finance Department spokesman Lola Potter said only about 40 percent of employees have been notified their offers were accepted.

The state estimates it has 1,792 employees in Hamilton County.

Rep. Tommie Brown, D-Chattanooga, has said she will be looking to see what impact reductions in state employees will have on services in various departments.

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