Hays shares slump to 10-month low as growth slows

The shares of recruitment firm Hays fell to a 10-month low yesterday after a quarterly trading update showed a slowdown in net fee growth in its main domestic market, prompting some analysts to cut earnings forecasts.

Hays said underlying net fees in the UK and Ireland, which last year accounted for 36% of annual net fees, rose 6% in its first quarter, versus the 9% rate in the prior three months.

Shares in Hays, which places workers in finance, construction, and IT, fell to 136p (185c), the lowest since December, before paring their losses later in the day.