A union official says the city of Fredericton will have a fight on its hands over council's proposed bylaw changes to remove a cost-of-living adjustment from its pension plan.

A memo was released Monday to all Fredericton city employees stating that, as of January, cost-of-living indexing will no longer apply to future pensions.

The change will not affect people already drawing a pension.

Cst. Ken Cook of Local 911, which represents city police, said he's been inundated with calls, emails and visits since council announced it may remove the policy of guaranteed indexing that was introduced 15 years ago.

With the plan facing a $39.4 million deficit, he realizes something must be done, but not de-indexing pensions.

He predicts police and other city workers will let councillors know about their opposition when the matter is dealt with at the next council meeting, Sept. 27.

"I don't think the council chambers could hold all the people that are going to be there, because from what I've seen in the last 24 hours, they're going to fill it," said Cook. "And we'll all go. Because it's important."

The change affects as many as 500 employees, including police and firefighters.

The city had considered increasing contributions from employees to fund the shortfall, but decided that would not be enough.

The memo said the decision to stop guaranteed indexing was necessary because "it's highly unlikely the market will rebound by 20 per cent in one year to earn enough money to cover the deficit."

To match the increase would add $335,000 to next year's budget, said the city.