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More than 100 schools across Nottinghamshire are closed as a two-day national strike by council workers hits local authority services.
Some leisure centres and libraries are also affected by the strike over pay.
Nottinghamshire County Council leader David Kirkham said the council faced a huge pay bill increase if it agreed with the demands.
Three unions have called the action in protest over pay, saying a 2.45% offer does not keep up with inflation.
Inflation increases
Chris Tansley, the regional rep for Unison, said: "We have been offered a miserly 2.45% - inflation is running at least 4.3%" adding that the workers face huge prices increases for food, fuel and mortgages."
The unions, which include Unison, Unite and Public and Commercial Services Union, claim local authorities have huge reserves which they could use to increase the pay offer.
The deputy chief executive of the Local Government Association, John Ransford, disagreed.
He said: "No there is no money in the bank for pay.
"Reserves are kept for all sorts of purposes but that money can only be used once and we have gone to the limit of our affordability, every penny we can possibly put into pay we have done.
"If we go any further that means less services for people and less jobs for the workers."
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