The worldwide employment market is mired in its longest downturn in additional than 20 years, in response to Dirk Hahn, chief government of Hays, Britain’s largest listed recruitment group.
“I’ve been on this enterprise for 27 years and have by no means seen a world downturn prefer it,” he stated, citing “ongoing macroeconomic uncertainty” as the first issue conserving each employers and potential hires on the sidelines.
Hays, which employs almost 7,000 consultants worldwide, reported subdued demand for momentary staff in early 2025, whereas the marketplace for everlasting roles, particularly in Europe, has didn’t get well from a pre-Christmas droop. France, the UK, Eire, and Germany — Hays’s largest market — stay below specific strain.
Over the six months to December, group internet charges slipped 15 per cent to £496 million, in contrast with £583.3 million a yr earlier. Pre-tax income tumbled 67 per cent to £9.1 million, considerably beneath the £27.6 million booked in the identical interval the earlier yr. Hays’s shares, down by 1 / 4 over the previous yr, eased an extra 1.8 per cent on Thursday, closing at 71¾p and valuing the FTSE 250 recruiter at slightly below £1.2 billion. Regardless of the autumn in income, Hays will maintain its interim dividend at 0.95p per share.
The UK’s broader labour market has remained comparatively resilient, with few mass redundancies. But James Hilton, Hays’s chief monetary officer, notes an absence of urge for food for brand new hires: “Most firms have sufficient work to justify conserving present workers, however they’re not trying to develop headcount,” he stated. “Individuals who secured good pay rises in the previous couple of years aren’t motivated to maneuver. We’re in a stalemate, however sooner or later, staff will need promotions or recent challenges.”
Recruitment teams had hoped that the market would rebound earlier this yr, but that restoration continues to be “pushed again,” Hahn warns, with an upturn no longer anticipated till 2026. Within the meantime, Hays, headquartered in London with workplaces in 33 international locations, stays centered on its expertise recruitment arm — at present its most worthwhile division — because it weathers the enduring world hiring freeze.
Jamie Younger
Jamie is Senior Reporter at Enterprise Issues, bringing over a decade of expertise in UK SME enterprise reporting.
Jamie holds a level in Enterprise Administration and repeatedly participates in business conferences and workshops.
When not reporting on the most recent enterprise developments, Jamie is captivated with mentoring up-and-coming journalists and entrepreneurs to encourage the subsequent technology of enterprise leaders.
