Unionised workers at Ssangyong have said they will continue their sit-in strike, rejecting a proposal from the management that it could reconsider layoffs if they disperse.

Thousands of unionised workers at Ssangyong have occupied the carmaker's sole plant in the city of Pyeongtaek, 70 kilometers south of Seoul, since May 21, to protest the job-cut plan. In response, Ssangyong has closed the Pyeongtaek factory.

"The management is still pushing ahead with massive job cuts," the labor union said in a statement. "We can disperse only if the management scraps the layoff plan, not just says it may reconsider the plan."

Over the weekend, Ssangyong urged its striking workers to halt the protest and return to work.

Ssangyong, which has been under US-style bankruptcy protection since February, said last month it will cut 2,646 jobs, or 36 percent of its total workforce.

In May, the Seoul Central District Court said Ssangyong is worth saving rather than liquidating, but warned it could still liquidate the ailing carmaker if it fails to make the job cuts as promised.