Gosford City councillors have voted in favour of a major restructure, which will see 17 jobs go and departments slashed.

Local business representatives have said the shake-up is long overdue, with Gosford Council’s new General Manager Paul Anderson ready to preside over the shift.

The plan will see six existing departments sliced in half, cutting a total of 36 positions while creating 19 new ones.

“I think somebody referred to it as lean and mean - I'd like to think of it as lean and friendly and it's actually providing the service the community wants but with a smile,” Mr Anderson said of the new direction for the Council.

“One of the things we've got to deal with is our customer service...and that means all of us.”

Business leaders from the Peninsula Chamber of Commerce say the reformation will bring a new age of efficiency and efficacy.

“We have full confidence that the trimmed down management structure will enhance the ‘open for business’ mantra that has been so refreshing in recent months,” Chamber president Matthew Wales said.

Mr Anderson says job ads for the new positions will be listed straight away.

“All existing staff are entitled to apply for those positions and they'll go through a merit assessment to select those candidates,” he said.

The planned changes still have to pass consultation with staff and unions, but the proponents hope they will be in place by mid-year.