(Refiles to correct spelling of Dorman in paragraph 3)
June 15 (Reuters) - British recruiting firm SThree reported a 7%
fall in half-year net fees on Monday, with its UK and Japan businesses taking
the biggest hit, as companies refrained from hiring new employees during the
health crisis.
The recruitment industry has been reeling under the pressure of a hiring
freeze as governments impose lockdowns to curb the spread of the COVID-19
pandemic. As a result, SThree ceased all recruiting activities in April, cut its
dividend and slashed management pay to cushion the blow.
"Whilst lockdowns are currently being eased to differing extents globally,
we still see heightened uncertainty continuing for some time," said Mark Dorman,
chief executive officer of SThree.
The company, which hires employees for finance, energy, banking,
pharmaceutical, engineering and tech sectors, said net fees earned for the six
months to May 31 was 151.2 million pounds ($188.41 million) compared with 163
million pounds reported a year ago.
"With lockdown impacting the majority of the quarter, we see this as a very
resilient performance," Liberum analyst Sanjay Vidyarthi said.
SThree, which posted a decline in fees earned across all its regions, said
net fees in Japan and UK fell 24% and 14%, respectively, in the six months.
Its peers PageGroup Plc, Robert Walters and Hays
have also taken some extreme steps to weather the coronavirus outbreak by
cutting jobs, furloughing staff and slashing board pay, among other things.
($1 = 0.8025 pounds)
(Reporting by Indranil Sarkar in Bengaluru; Editing by Amy Caren Daniel)