Higher wages help recruiter Hays post record fees in 15 countries
The business said restrictions in China are still weighing on its performance there.
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Your support makes all the difference.Recruiter Hays has said it is benefiting from higher wages around the world as it sets up potential candidates with jobs in industries.
But the business has also taken a hit in China, due to stricter Covid-19 regulations persisting, while the global economic outlook is uncertain.
Unemployment has – so far at least – not been one of the economic problems facing policymakers worldwide.
Job numbers have been strong, leading to increased competition from companies for workers, and helping to push up pay – although often not by enough to offset runaway inflation.
“While macroeconomic uncertainties are increasing, we have a clear strategy and our key markets continue to be characterised by skill shortages,” said chief executive Alistair Cox.
“Our fee growth is also supported by improved margins and wage inflation globally.”
We finished our financial year strongly, delivering record quarterly fees overall and with 15 countries producing quarterly fee records, including our largest country of Germany
During the three months to the end of June, Hays made record fees in 15 of the countries where it operates, including Germany, where it makes more money than anywhere else.
German fees rose 29%, the business said, as it also reported rises of 22% in the UK and Ireland, 12% in Australia and New Zealand, and 24% in the rest of the world.
But the final category includes China. Like its rival Page Group on Wednesday, Hays reported a drop in the country, where people are still living under heavy coronavirus restrictions.
The fees that Hays got from China dropped by 5% over the quarter, with the mainland particularly affected.
Elsewhere in Asia, Japan was a standout performer as fees rose 65%, while Malaysia grew 27%.
“We finished our financial year strongly, delivering record quarterly fees overall and with 15 countries producing quarterly fee records, including our largest country of Germany,” Mr Cox said.
“Fees and activity were stable at high levels through the quarter, driven by good client and candidate confidence.”