TAFE NSW has categorically denied claims 470 regional jobs will be lost in a restructure.
Instead the organisation claims fewer than 50 jobs will go statewide, labelling union claims "categorically untrue".
The Community Public Sector Union of NSW said it had been advised of major restructures at TAFE NSW, which would lead to some 678 positions being cut.
A TAFE NSW spokeswoman said the claims were incorrect. The organisation estimates fewer than 50 jobs.
"These changes will reduce duplication and management layers," she said.
"It is expected that the final structures will see a reduction of fewer than 50 jobs across the organisation.
"These are not frontline roles. There are no teaching positions, or roles that support students in the classroom or with their studies included in these proposed changes."
The spokeswoman said in 2016 TAFE NSW announced a new 'One TAFE' operating model to bring together institutions. She said they had been transparent student services and facilities management teams would go through an 'organisation design' as a part of the changes.
"No student will be disadvantaged by these changes," she said.
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CPSU NSW secretary Stewart Little accused the Berejiklian government of gutting the TAFE system.
"The government is seeking to privatise TAFE," he said. "These jobs losses will have a devastating effect on regional NSW."
When asked in Parliament about the restructure, Premier Gladys Berejiklian denied the number of job losses, saying "if it was left to those opposite they would not want any organisation to modernise or become more relevant".
She insisted the restructure would directly impact "less than 50 people".
NSW TAFE emphasised there were no plans to privatise TAFE.
Opposition Leader Jodi McKay said Labor would fight the restructure as young people needed support navigating the system.
"For the government to say, 'Oh, they're not teachers', just is so disrespectful," Ms McKay said.
- with AAP
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