Northumberland County Council has made a total of twelve youth workers redundant, leading to fears young people could be turned away from existing voluntary services.
The council has said the decision was taken after it was agreed to channel resources into the "passionate and dedicated" voluntary and community sector - but workers in the sector have warned sessions will be cancelled unless the funding gap is plugged.
Two part-time youth workers and 10 part-time youth support workers will lose their jobs as part of the changes; the equivalent in hours of three full-time staff members.