Wuhan Iron & Steel Co (Wugang) will lay off 6,196 people by the end of February 2016, news portal jiemian.com reported on Monday.
The workforce stood at 27,760 people based on the company's 2014 financial report, so the job cut will cover more than 20 percent of its staff.
Wugang's parent company, Wuhan Iron and Steel (Group) Corp (WISCO), will likely eliminate roughly 11,000 jobs, with a 20 percent pay cut to be imposed on all employees in 2016, the same report said, citing several anonymous sources at WISCO.
But Sun Jing, director of WISCO's communication department, was quoted as saying in the report that there have been no layoffs or pay cuts. He also explained that according to company policy, an employee may face a pay cut of up to 20 percent only when he or she fails to complete the workload.
