Page becomes latest recruiter to wield the axe

Page group became the latest recruitment firm to announce job cuts after it warned that ‘uncertainty’ about the global economy was hitting profits.

The FTSe 250 business revealed it cut 224 staff across its business in the final three months of last year.

Rival Robert Walters last week announced 220 redundancies.

Page group said that as a result of the latest round of cuts, its headcount was now 1,220 lower than a peak of 7,071 hit in the second quarter of 2022 when an economic resurgence from the pandemic sparked a hiring boom across several sectors.

Page also warned its profits for 2023 were expected to be ‘slightly below’ previous forecasts of between £120m and £125m. The downgrade followed an 8.9pc decline in the firm’s gross profit in the fourth quarter of last year.

Page saw falls across all of its markets, the largest of which occurred in the UK and the US where profits dropped 20pc and 24pc respectively. Its biggest segment, europe, Middle east and africa, which accounts for 56pc of the business, also saw profits slip 6.5pc.

The group blamed ‘tougher market conditions’ in the second half of last year as low levels of confidence from both employers and jobseekers delayed hiring times while recruitment budgets were cut.

Page also highlighted that temporary hiring rates had risen by 5pc while permanent recruitment dropped 14pc as firms looked for more flexible options when taking on staff.

‘Looking ahead, macro-economic uncertainty persists,’ said Page boss Nicholas Kirk, who added that the group’s costs were under ‘continuous review’ so they could be ‘adjusted rapidly to match market conditions’.

Shares in the company slid 0.3pc following the update.

aJ Bell investment director Russ Mould said: ‘The jobs market is often a good barometer of economic conditions as firms hire when they’re feeling confident and retrench when times are tough – so Page becoming the latest recruiter to warn on profit is a slight worry.’

Job cuts from Page and Robert Walters followed rival hiring giant Hays, which earlier this month confirmed plans to slash around 600 roles worldwide.

Many firms have reduced their hiring activity in recent months following increases in interest rates and wage inflation which have pressured their budgets.

at the end of last week, US banking giant Citigroup announced it planned to cut at least 20,000 jobs, equivalent to 10pc of its workforce, after it posted its worst quarterly performance in 14 years.