Hays hails a rise in temporary jobs but global market is shaky

Marion Dakers
SHARES in recruitment firm Hays rose 8.35 per cent yesterday after it said a rise in temporary placements will propel its full-year operating profit to the top end of market estimates.

Yet it warned that overall the world job market remains fragile.

Hays’ net fees in the UK and Ireland were flat on last year during the first three months of 2013, as a 17 per cent rise in public sector fees was offset by a six per cent slump in the private sector.

Asia Pacific was the biggest drag on the firm’s global growth, with fees down 15 per cent, or 14 per cent on a like-for-like basis, which excludes currency movements.

Continental Europe and the rest of the world delivered four per cent like-for-like growth, Hays added.

Globally, like-for-like fees fell three per cent. Income from permanent roles fell eight per cent, while temporary placement fees rose one per cent.

“We have delivered a resilient performance against an economic backdrop that continues to be mixed and fragile overall,” said chief executive Alistair Cox in a statement.

The firm said analysts are expecting annual operating profit to be between £112.3m and £122.5m.

Shares in the firm closed up 8.35 per cent at 101.2p.