Newcastle Council general manager Ken Gouldthorp says there is no basis to claims the organisation is going to contract out services.
Council is in talks with union representatives who claim services, such as garbage collection, public pools and cleaning services, will contracted to external parties.
Workers voted last week to lodge a motion of no confidence in the Mr Gouldthorp.
He says council still has not decided how it is going to manage the services.
"Up until now we've got a number of things we've got to address and concentrate on at this time," he said.
"I think the discussions about contracting out have mainly been rumours to be honest, and without a lot of substance behind them.
"As you'd be aware we have moved to corporate expressions of interest to the operation of Beresfield Golf Course but that's the only matter at this stage that we've taken to the market."
Mr Gouldthorp was offered the general manager's position permanently this week after filling the gap for the past sixth months after former GM Phil Pearce resigned, citing personal reasons.
A national recruitment process has been underway.
Mr Gouldthorp says staying in the top job gives the organisation some certainty into the future.
He says he has worked to bring council's finances under control and he is keen to see the changes through.
"The pleasing thing is having started in the role and making some change and transformation to the organisation I will now be here to see it through, which I'm very pleased about," he said.
"And I believe also it gives a degree of consistency and certainty for the organisation.
"I think the last thing the organisation needed at this time was for yet another change."