It is being claimed more jobs will be lost in Jersey's building and construction industry because of cutbacks by the States.
Mark Palfrey, the president of the organisation representing the building industry, fears redundancies are inevitable.
He is warning of dire consequences because the States has cut back on the number of key building programmes, such as schools and homes.
He said redundancy will "become a fact of life" over the next year and it will lead to a smaller industry.
There are not many new drawings going through the planning department and not many new schemes coming off the drawing boards
Mark Palfrey, Jersey Building and Allied Trades Employers Federation
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"For some people that will not cause a problem," said Mr Palfrey, President of the Jersey Building and Allied Trades Employers Federation.
"But what it means is we are not investing in infrastructure of the island and we are concerned because we are a service to the island and there is a lack of investment."
Mr Palfrey says the problem is being made worse because firms from outside Jersey are winning contracts at the expense of island businesses.
"The public can still see a lot of construction going on, but there are not many new drawings going through the planning department and not many new schemes coming off the drawing boards, the industry is going flat and will flatten out," said Mr Palfrey.