The government plans to give companies a subsidy of up to ¥1 million for each non-student part-timer, or "freeter," they hire as a full-time employee.

The step will be included in economic stimulus measures the government and ruling coalition intend to draw up in October in a bid to alleviate the adverse impact on the economy of the global financial crisis, government sources said.

Under the plan, the government will grant the subsidies to firms hiring part-timers aged between 25 and 34, or those in their 30s who work as daily workers as full-time, regular employees.

The planned subsidies are part of Prime Minister Taro Aso's plan to boost the employment of young people, including part-timers, who are expected to face difficulty finding stable employment amid deteriorating overall job conditions in the wake of the global financial turmoil, the sources said.