Hays reports zero net fee growth in fourth quarter

Recruitment company Hays reported zero growth in fourth quarter net fees as weak market conditions across Australia, New Zealand and the UK offset growth in Germany.

Hays said net fees in the UK & Ireland, which represents 23% of its markets, fell 2%, while Australia and New Zealand fell 3% in the period to June 30.

Brexit worries have put the brakes on investment and recruitment decisions in the UK. Hays said conditions in the private sector were tougher and net fees fell by 6%.

In Germany, Hays' biggest market, net fees grew 2% against “tough” comparatives and “broad signs of client cost control and slower decision-making...increasingly evident in the manufacturing and automotive sectors”.