A social services department in the North East is said to be losing key staff because it does not pay them enough.

And there is also difficulty recruiting staff at Redcar and Cleveland Council which was affecting the levels of service, according to a report in the Middlesbrough Evening Gazette.

To tackle the problem the council is now considering regrading some posts so that they paid more.

John Finlay, principal personnel officer in the social services department, told councillors that currently the authority offered no reward for staff who improved their prospects by becoming qualified social workers, which led to them leaving for other councils who paid better.

And the council also paid team managers the lowest salaries in the Tees Valley area.

"To ignore what is happening is not an option," Mr Findlay told councillors in a report.

And he warned that staff could get better paid jobs on neighbouring councils which meant they did not even have to move house or away from their family and friends.

The changes he is proposing would cost the council an extra £40,000 during 2001-2, said the paper's report.