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Toyota to hire up to 4,000 contract staff in Japan

21 june 2011, 15:40
©RIA Novosti
©RIA Novosti
Toyota on Tuesday said it planned to hire up to 4,000 contract workers in Japan as it looks to make up for lost production caused by the impact of the March 11 earthquake and tsunami, AFP reports.

"In terms of domestic output, the company expects the production will start recovering from around October, making up the delay caused by the Great East Japan Earthquake," a Toyota statement said.

"In order to meet the challenge, the company plans to hire 3,000 to 4,000 contract workers throughout the nation from mid-July."

In doing so, Toyota will end a two-year hiatus in such hiring, the Nikkei business daily said. They will be Toyota's first new contract hires since December 2009, said spokeswoman Kayo Doi.

Amid uncertainty in the outlook on supply and sales fronts, Japanese automakers remain cautious about new full-time hires. But demand for outsourcing and temporary labour is recovering.

The positions available will be for part manufacturing and vehicle assembly at Toyota plants, she added.

Earlier this month, Toyota said it expected net profit in this fiscal year to drop 31 percent on-year to $3.5 billion on a strong yen and the effect on production of the March disasters.

The automaker said it expected to stage a recovery in the second half as supply problems caused by the earthquake fade, but warned the current strength of the Japanese currency made domestic production too expensive.

The 9.0-magnitude earthquake and the resulting tsunami left 23,000 dead or missing, destroyed entire towns and crippled electricity-generating facilities, including a nuclear plant at the centre of an ongoing emergency.

In the power and parts shortages that followed, Toyota and other Japanese firms announced production disruptions domestically and overseas, temporarily slowing output or shutting plants.

Toyota has said production is expected to fully recover by November.

It said the disaster -- which contributed to a 77 percent net profit fall in the fourth quarter -- will reduce its global production by 450,000 units, and result in a 360 billion yen hit to operating profit this year.

Toyota shares were 0.78 percent higher at 3,200 yen in Tokyo afternoon trade.

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