Troubled South Korean textile manufacturer Saehan Industries Inc plans to axe 200 workers and sell $23 million worth of assets, it was reported on Wednesday.

Citing company sources, the Maeil Business Newspaper claimed the firm has debts of around $230m and will make the job cuts as part of its restructuring drive.

The paper added that bosses and union chiefs have agreed to a freeze on pay rises until the company successfully completes its reorganisation.