It would lay off 330 workers at Fort Eustis in Newport News, Va., if a service contract with the post is not extended, Northrop Grumman Corp. have said.

Daily Press reported on Tuesday that the company filed its intent to lay off the workers with the Virginia Employment Commission, the Newport News, Va.

She was "confident we are going to get (the contract) back," which would avert the need for layoffs, Josephine Garcia, the company's project manager for the contract covering maintenance, transportation and food services, said.

The newspaper further said that Northrop Grumman has held the service contract for 20 years. If the contract is not renewed, the layoffs would take effect June 30. (With Inputs from Agencies)