Interim Management Statement

HAYS PLC

INTERIM MANAGEMENT STATEMENT
QUARTER ENDED 31 MARCH 2012

12 April 2012



Financial summary

Growth in net fees for the quarter ended 31 March 2012 (Q3)        Growth       
(versus the same period last year)                                    
                                                              Actual     LFL*
By region                                                              
      Asia Pacific                                               17%       9%
      Continental Europe & Rest of World                         27%      26%
      United Kingdom & Ireland                                  (5)%     (5)%
      Total                                                      12%      10%
 
By segment                                                             
      Temporary                                                  16%      14%
      Permanent                                                   8%       5%
      Total                                                      12%      10%
                                                                           
* LFL (like-for-like) growth represents organic growth at constant currency.
 

Highlights

· Good Group net fee growth of 10%* versus prior year

· International business delivered strong growth of 18%* and represented 
  70% of net fees in the quarter

· Strong growth of 26%* in Continental Europe & Rest of World, driven by 
  continued excellent performance in Germany which grew by 36%*

· Good growth of 9%* in Asia Pacific, with 9%* growth in Australia & New 
  Zealand, and 5%* growth in the rest of Asia

· Net fees decreased 5% in the UK & Ireland, with private sector declining 
  6%. Public sector net fees declined 2%

· Based on the Group's year-to-date performance and our current view on
  outlook, we expect full year operating profit to be towards the top of the
  current range of market estimates

Commenting on the Group's performance in the third quarter, Alistair Cox, Chief
Executive, said:

"We have made an encouraging start to the second half with good performances in
many parts of the Group.  In our International business, which now accounts for
70% of total net fees, growth accelerated to 18%*. 13 countries around the
world grew by over 20%* and our market-leading German business was amongst 7
countries that delivered record performances. In the UK, markets remain
difficult, especially in Banking and the public sector. 

Looking ahead, many parts of the Group continue to grow, but ongoing
uncertainty about the global economic outlook means that our markets around the
world remain complex and far from uniform. Against this backdrop, we will
continue to invest selectively in growth areas whilst at the same time reacting
to changing conditions in each of our countries and specialisms to maximise
fees and profitability. Our unrivalled global footprint, sectoral
diversification and market leadership in so many countries positions us well to
capitalise on today's complex markets as well as the long-term opportunities
for growth which remain undiminished."


Group

In the quarter ended 31 March 2012, Hays, the leading global professional
recruitment group, increased net fees by 12% (10% on a like-for-like basis*)
against prior year. Net fees in the temporary placement business, which
accounts for 56% of Group net fees, saw strong growth of 14%*. Net fee growth
in the permanent placement business was solid at 5%* despite continued
uncertainty about the global macro-economic environment impacting confidence
amongst the Group's candidates and clients, notably in our Banking related
specialisms around the world.

The exit rate for the quarter was circa 7%* up on the same period last year, as
comparatives strengthened as the quarter progressed.

The Group's underlying temporary placement margin** remained broadly stable and
in line with the previous quarter. The Group's consultant headcount, which is
7% up year on year, decreased by 3% during the quarter. This follows the
actions taken in October and November 2011 when we became more selective about
areas for investment, and reduced consultant numbers in certain countries.

Based on the Group's year-to-date performance and our current view on outlook,
we expect full year operating profit to be towards the top of the current range
of market estimates.
 

Asia Pacific

In Asia Pacific, our second largest region by net fees, we recorded good net
fee growth of 9%*. In our market-leading Australia & New Zealand business, we
recorded good overall net fee growth of 9%*, within which our temporary
placement business performed strongly, increasing by 17%*, and our permanent
placement business was broadly flat*. We continued to see excellent growth in
Western Australia and Queensland driven by Resources & Mining and associated
support specialisms, which was partially offset by tough market conditions in
New South Wales and Victoria.

In Asia, which accounts for 12% of the division, net fees grew by 5%*. In
Japan, we continued to see strong growth as net fees increased by 31%*.
Elsewhere in the division, market conditions remained subdued through the
quarter. This was particularly the case in Hong Kong and Singapore, which have
a significant weighting towards Banking and Financial Services.

Consultant headcount in the Asia Pacific division was broadly stable in the
quarter.
 

Continental Europe & Rest of World ('RoW')

In Continental Europe & RoW, our largest division, which represents circa 40%
of Group net fees, we recorded strong net fee growth of 26%*. Growth continued
to be excellent in Germany which had another record performance and grew by 36%*. 
Growth in Germany was broadly based across all sectors and each of our
permanent, contracting and temporary placement businesses.

Growth in the rest of the division, which is primarily a permanent placement
business, was 15%*. France continued to perform well, and grew by 13%*.
Elsewhere, 9 countries across the division increased net fees by 20%* or more,
including Belgium, Brazil, Canada, India and Russia. Conditions in our Southern
European businesses were more challenging as activity continued to be
significantly impacted by the Eurozone crisis and associated macro-economic
uncertainty.

Consultant headcount in the Continental Europe & RoW division decreased by 2%
during the quarter and we opened Chile, our fourth Latin American country of
operation, in March.
 

United Kingdom & Ireland

In the United Kingdom & Ireland, net fees decreased by 5%. In our private
sector business, net fees were down 6% in large part due to slowing activity in
our Banking and City-related specialisms. Elsewhere in our private sector
business, our IT, Legal and Energy businesses continued to deliver good growth.
In our public sector business, net fees were down 2% year on year, but have now
been stable on a sequential basis since April 2011.

We continued to make good progress on our cost reduction plans through the
quarter to protect the profitability of the business.

Consultant headcount in the United Kingdom & Ireland division decreased 5% in
the quarter.
 

Cash flow and balance sheet

As a result of good working capital management, net debt decreased to around
£160 million (31 December 2011: £178 million).

* LFL (like-for-like) growth represents organic growth at constant currency.

** the underlying temporary placement gross margin is calculated as temporary
placement net fees divided by temporary placement gross revenue and relates
solely to temporary placements in which Hays generates net fees and
specifically excludes transactions in which Hays acts as agent on behalf of
workers supplied by third party agencies.
 

Enquiries

Hays plc                                                                            
Paul Venables           Group Finance Director          + 44 (0) 20 7383 2266   
David Walker            Head of Investor Relations      + 44 (0) 20 7383 2266   
                                                          
Maitland                                                                            
Brian Hudspith                                          + 44 (0) 20 7379 5151   
                                                

Conference call

Paul Venables and David Walker of Hays plc will conduct a conference call for
analysts and investors at 9:00am United Kingdom time on 12 April 2012. The
dial-in details are as follows:

Dial-in number                                          [phone] 
Password                                                458857#              
                                                                                
The call will be recorded and available for playback for seven days as follows: 
                                                                                
Replay dial-in number                                   [phone] 
Access code                                             383723#              
 

Reporting calendar

Trading update for the quarter ending 30 June 2012             11 July 2012      
Preliminary Results for the year ending 30 June 2012           30 August 2012    
Interim Management Statement for the quarter ending 
 30 September 2012                                             8 October 2012    


Note to editors

Hays plc (the "Group") is a leading global professional recruiting group. The
Group is the expert at recruiting qualified, professional and skilled people
worldwide, being the market leader in the UK and Asia Pacific and one of the
market leaders in Continental Europe and Latin America. The Group operates
across the private and public sectors, dealing in permanent positions, contract
roles and temporary assignments. As at 30 June 2011, the Group employed 7,620
staff operating from 255 offices in 31 countries across 20 specialisms. For the
year ended 30 June 2011:

- the Group reported net fees of £672 million and operating profit of £114 million;

- the Group placed around 60,000 candidates into permanent jobs and around 
  190,000 people into temporary assignments;

- 31% of Group net fees were generated in Asia Pacific, 33% in Continental 
  Europe & RoW (CERoW) and 36% in the United Kingdom & Ireland;

- the temporary placement business represented 54% of net fees and the permanent 
  placement business represented 46% of net fees;

- Hays operates in the following countries: Australia, Austria, Belgium, Brazil, 
  Canada, Colombia, Chile, China, the Czech Republic, Denmark,France, Germany, 
  Hong Kong, Hungary, India, Ireland, Italy, Japan, Luxembourg, Mexico, 
  the Netherlands, New Zealand, Poland, Portugal, Russia, Singapore, Spain, Sweden, 
  Switzerland, UAE, the United Kingdom and the USA.


Cautionary statement

This Interim Management Statement (the "Report") has been prepared in
accordance with the Disclosure Rules and Transparency Rules of the UK Financial
Services Authority and is not audited. No representation or warranty, express
or implied, is or will be made in relation to the accuracy, fairness or
completeness of the information or opinions made in this Report. Statements in
this Report reflect the knowledge and information available at the time of its
preparation. Certain statements included or incorporated by reference within
this Report may constitute "forward-looking statements" in respect of the
Group's operations, performance, prospects and/or financial condition. By their
nature, forward-looking statements involve a number of risks, uncertainties and
assumptions and actual results or events may differ materially from those
expressed or implied by those statements.  Accordingly, no assurance can be
given that any particular expectation will be met and reliance should not be
placed on any forward-looking statement.  Additionally, forward-looking
statements regarding past trends or activities should not be taken as a
representation that such trends or activities will continue in the future. The
information contained in this Report is subject to change without notice and no
responsibility or obligation is accepted to update or revise any
forward-looking statement resulting from new information, future events or
otherwise. Nothing in this Report should be construed as a profit forecast.
This Report does not constitute or form part of any offer or invitation to
sell, or any solicitation of any offer to purchase or subscribe for any shares
in the Company, nor shall it or any part of it or the fact of its distribution
form the basis of, or be relied on in connection with, any contract or
commitment or investment decisions relating thereto, nor does it constitute a
recommendation regarding the shares of the Company or any invitation or
inducement to engage in investment activity under section 21 of the Financial
Services and Markets Act 2000. Past performance cannot be relied upon as a
guide to future performance. Liability arising from anything in this Report
shall be governed by English Law, and neither the Company nor any of its
affiliates, advisers or representatives shall have any liability whatsoever (in
negligence or otherwise) for any loss howsoever arising from any use of this
Report or its contents or otherwise arising in connection with this Report.
Nothing in this Report shall exclude any liability under applicable laws that
cannot be excluded in accordance with such laws.