Trainee nurses on the verge of qualifying are being warned they are unlikely to find permanent posts in Leicester for at least two months.
The University Hospitals of Leicester (UHL) NHS Trust wrote to all 111 nursing students about to graduate from De Montfort University.
It said a lack of cash meant they would not be offered jobs before April.
Earlier this year the trust confirmed it was having to make £22m of cuts as a result of a lack of cash.
Last week it was confirmed at least another £5m savings are needed because the Primary Care Trust (PCT) is having to cut back the services it buys from the hospitals.
Carole Ribbins, deputy director of nursing at UHL, admitted it was a blow, but said the trust's recent track record for taking on graduate nurses should give the trainees hope.
"We have previously been successful, with 98% of students previously being recruited to University Hospitals of Leicester or hospitals around Leicester. And we are hoping this will only be very short term," she said.