More temporary autoworkers in Japan face the axe.

Minicar specialists Suzuki and Daihatsu both said on Monday they would axe more 'temp' jobs as global demand slumps.

Toyota subsidiary Daihatsu will cull 500 to 600 jobs by the end of March and Suzuki said it would cut 250 more posts, taking to 850 the number announced since October..

"We've been making efforts to maintain jobs for people by reducing operations on holidays and overtime work, but that's not enough anymore," a Daihatsu spokesman said.

His parent firm Toyota on Monday forecast an operating loss for the fiscal year ending 31 March.

Suzuki had earlier announced plans to axe 1,200 of its 5,500 workers in Hungary.