Avon and Somerset Probation service staff are being balloted for strike action over plans to downgrade workers at some bail hostels.
Union leaders claim proposals to replace experienced workers with less experienced ones could pose a risk to staff and public safety.
The probation service said public protection was its main priority, but it also had to provide value for money.
If a strike went ahead police officers could not be used to run the hostels.
The controversial cash-saving proposals to downgrade staff at Brigstocke Road hostel in Bristol, Ashley House in Clifton and a hostel in Bridgwater, follow a review of the probation services.
Potential risk
Two of the hostels sparked a Home Office inquiry after a BBC Panorama programme revealed sex offenders were allowed to wander freely without proper supervision.
Chris Howe, from Unison, said ensuring the "right mix of staff" were on duty at any one time was vital.
"There's an obvious potential risk there, not only to our staff but also to the general public bearing in mind these are not little mini prisons, they are effectively open houses."
One local resident Lawrence Hoo said he was very worried at the prospect of staff "with less skills" dealing with "people who are deemed to be high risk offenders".
"[The] probation service's own literature says they need very good monitoring and highly skilled staff to deal with these people and now, in a sense, they've just retracted that," he said.
A statement from the probation service said public protection remained the "number one priority" and as a public service they had to ensure value for money.
"It is extremely important to stress that this process is taking place in accordance with Avon and Somerset Probation Board procedures and policies for change management," the statement added.
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