Hyundai Rotem, a tank and train-making affiliate of Hyundai Motor Group, has launched measures to drastically cut costs amid an industrywide slump, sources said Friday.

They include an early retirement scheme that will be introduced for the first time at the company in 10 years. 

Sources close to the matter said Hyundai Rotem will recieve applications until Jan. 22. Up to 1,500 workers will be allowed to seek early retirement. As of June 2015, Hyundai Rotem was employing around 3,700 people.

The latest cost-cutting moves come as Hyundai Rotem is struggling to stay afloat amid intensifying global competition.

Up until the third quarter of last year, Hyundai Rotem reported a cumulative net loss of nearly 70 billion won ($57.7 million) on a consolidated basis.

Previously in 2004, some 500 management-level workers had to leave the firm and remaining employees took a pay cut. A year later, an additional 100 workers left under a voluntary retirement program.

(khnews@heraldcorp.com)