Hays says jobs market still under pressure as it counts on new-year hiring boost

Hays reported a fall in recruitment fees at the end of 2025 and said it expects a new-year 'return to work' boost while forecasting about £20 million profit for the first half of its financial year.

Hays reported weaker recruitment activity at the end of 2025, with overall fees down and permanent placements taking longer to fill. The firm said permanent recruitment fees fell 14% on a net basis in the final quarter year‑on‑year, and temporary and contracting fees were down 8%. It noted larger declines in public-sector hiring in the UK and Ireland and a modest year‑on‑year rise in fees from technology roles. Hays said it will monitor early 2026 hiring closely and is focusing on long‑term growth markets and higher‑skilled job categories. Key points: - Permanent recruitment fees fell 14% net in the final quarter of 2025 versus the same period in 2024. - Temporary and contracting fees declined by 8% in the same quarter. - In the UK and Ireland, public-sector fees dropped about 16% year‑on‑year while private-sector fees fell about 5%; technology job fees rose year‑on‑year for the first time since mid‑2023. - Hays expects roughly £20 million profit in the first half of its financial year and is watching for a new‑year "return to work" uplift. Summary: Hays's late‑2025 fee declines indicate continuing pressure in permanent hiring, with some recovery in technology roles. The company says it is prioritising growth markets and will closely monitor hiring activity in early 2026; the near‑term profit expectation is around £20 million.