Textile manufacturer Kolon Industries Inc intends to lay off another 304 workers as it struggles to survive.

A company spokesman quoted by The Korea Times said that the decision was due to a high level of competition from Chinese companies, and oversupply within the domestic market.
 
The spokesman added that the company would be free to lay off the workers after 30 days of notifying the government, unless an agreement was made with the labour union.

Kolon Industries made a KRW27 billion loss in the January-September 2004 period.

Last month the firm offered a second round of voluntary redundancies to about 2,000 workers at its plant at Gumi, 261 km southeast of Seoul.