Toyota to hire contract workers 1st time in 16 months

"The decision to hire such contract employees reflects gradually recovering worldwide automobile sales, encouraged by tax-incentive and subsidy programs implemented in various countries starting in the spring of this year," the statement said. "The global recession that began in 2008 had forced Toyota to reduce production and suspend the hiring of fixed-term employees since June last year, " it said.

Toyota will give hiring preference to former temporary workers, according to the statement. Under contracts of four to six months, the new employees will be assigned to plants in Aichi Prefecture, central Japan, including one that makes the Prius hybrid model for the Japanese market. The Prius was Japan's best-selling car this August, remaining the top model for a third straight month.

Toyota currently employs 1,300 seasonal workers, down from the peak of 10, 000 last summer. Among other Japanese carmakers, Mitsubishi Motors Corp. and Hino Motors Ltd. have also decided to resume hiring temporary workers.