Christchurch City Council says 172 staff are being told their roles are being disestablished as a result of the earthquake on 22 February.
Those affected were employed at facilities that have been extensively damaged by the quake and as a result will remain closed indefinitely.
Most were based at the damaged QEII Park and Centennial Recreation and Sport Centres.
The Council says it is committed to preserving as many jobs as possible and is looking at options for re-deploying staff to other roles or other parts of the organisation.
It says those affected are being contacted this week.
Labour's earthquake recovery spokesperson, Clayton Cosgrove, the Government's business support scheme runs out in a few weeks, and ministers should act swiftly to provide additional support because of mounting job losses.
Mr Cosgrobe says the Prime Minister made a pledge after the 4 September quake that nobody would be worse off because of the disaster.