THE probation and prison services are to merge.
The two agencies will combine to create an offender management service in April.
Home Affairs Minister Adrian Earnshaw MHK, who described the move as a modernisation process, said "we are not anticipating any redundancies."
Employees were told about the merger earlier today and prison governor Alison Gomme, who will head the service, said there had been a positive response from her staff.
The department said the initiative will be a "fresh approach to the way offenders are dealt with" in a bid to "enhance community safety and improve opportunities for rehabilitation".
The reorganisation involves the planned early retirement of David Sellick, the Island's chief probation officer since 1991.
He will not be replaced.
The initiative is part of the transforming government programme which aims to identify ways to "improve service delivery" plus support the five-year strategy to rebalance the budget due to the VAT crisis caused by the UK Government renegotiating the VAT sharing agreement with the Island.
However it appears there will be no staff cuts - apart from the loss of Mr Sellick's position.
A media release from the Department of Home Affairs said there will be a "more holistic approach" to working with offenders which the department said will "potentially result in fewer victims of crime in the Island".
Home Affairs Minister Adrian Earnshaw MHK said: "The main objective is to develop the services we provide in order to maintain the cherished quality of life we enjoy in the Island.
"Crime rates in the Isle of Man are at their lowest levels since 1981 which is a tremendous achievement and a reflection of the hard work undertaken by my department to protect the local community.
"In common with other areas of government, however, there is scope to make even better use of our resources.
"The proposed offender management service will see management and officers within the prison and probation services, as well as the police and other partners, utilise their experience, knowledge and skills within a more integrated structure.
"The prison and probation services have always worked well together but have been autonomous in the past.
"This rationalisation will formalise the collaborative process and use the skills within our department to drive forward the agenda of a combined service.
"This will in turn provide opportunities to improve efficiencies and promote cost effectiveness which are important considerations in the current financial climate."
He added: "It is acknowledged that some offenders are basically serving a life sentence in instalments as they quickly fall back into a life of crime after being released from prison.
"As well as encouraging people to become law-abiding members of society the rehabilitation process also makes financial sense.
"There are major costs associated with crime, so breaking the offending cycle can be extremely beneficial in both financial and human terms."
There are currently 20 staff working for the probation service - including Mr Sellick - and 128 at the prison.
