Tasmania's Treasurer Peter Gutwein has defended a cost-cutting blitz in the state's public sector, promising ‘no jobs will go’. The state will be plunged into $1 billion of debt over four years, breaking an election promise to remain debt-free, assuming a $450 million efficiency dividend over the forward estimates from cuts to consultants and travel. Shadow Treasurer Scott Bacon says, ‘there is no way that Peter Gutwein can deliver on $450 million worth of cuts to the public service without having to cut jobs'. Mr Gutwein says, ‘we will just manage bringing people on, into the sector, as and when we need it'. Labor is due to deliver its budget reply on Tuesday. Image: News Corp Australia