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Staff at Leicestershire County Council could have their terms and conditions changed in a drive to save £3.2m.

The council has begun talks with unions and workers on plans to cut staff allowances, mileage payments and sick pay.

The Conservative-led council is aiming to cut £79m from its budget over the next four years.

The authority said it had ruled out reducing basic pay and hours for the 9,500 non-school staff affected.

Keith Libetta, from the public sector union Unison, said a proposal to not pay people sick pay for the first two to three days was of concern and something the union would oppose.

He said: "I think it's short sighted. What you'll find happening is that people on low pay will be encouraged to go into work when they shouldn't be and going into places such as elderly people's homes and spreading disease."

David Parsons, leader of the county council, said: "We have a hard working and talented workforce doing some excellent work for local people, but I am also clear that our priority in these very difficult times must be protecting services for those who need them the most.

"These are not easy decisions to take but by looking at a range of options, including possible changes to car allowances, we can continue to protect basic pay.

"I accept that these are unsettling times for staff, but we are a good employer and will involve them and trade unions in this process, before any decisions are taken."

The consultation runs until 30 November.