Weather delays and "contractual difficulties" have resulted in 13 jobs on Masterton's multi-million dollar Homebush sewerage project being cut.
The job losses have been confirmed in a letter sent by contractors Hopper Construction to staff this month.
It's the latest controversy for the $30 million upgrade project, the cost of which was significantly underestimated by consultants.
Neither Masterton District Council chief executive Wes ten Hove nor Hopper Construction would talk about the cuts, but a letter obtained by the Times-Age to an employee confirmed some staff would lose their jobs.
The letter, dated May 14, said the company had to reduce full-time positions at the Homebush site in Masterton due "weather conditions and contractual difficulties".