Latest news with #SThree
The Independent
02-07-2025
- Business
- The Independent
Winning the future of work: why capability beats concept
SThree is a Business Reporter client There have been issues with skills gaps in the booming STEM industry for some time now. The pace of change and society's acute reliance on the sector's breakthroughs – from the green transition to AI to biotech innovations – has meant that the demand from companies to 'find talent' has skyrocketed. But, meanwhile, the supply of that talent is struggling to keep pace. It's not a comfortable situation for companies to be in. They have strong potential and ideas, through which they're trying to gain a competitive edge, but they can't find the right people to help them realise their ambitions. Indeed, according to our own global research, even top-performing countries are facing structural challenges – whether that's a shortage of engineering graduates, a lack of gender diversity or an overreliance on outdated sourcing models. The UK, for example, ranks eighth globally for its foundational and specialised education, yet it lags in innovation output – a clear sign that education alone isn't enough to drive growth, and that without targeted investment in workforce capability, even the strongest academic ecosystems risk underdelivering. These issues are not unique to the UK – it's a phenomenon being experienced at a global level. But what we've found in our role as an international STEM workforce consultancy is that the most successful businesses think in ecosystems. They're not simply filling vacancies; they're investing in the resilience and agility of their future workforce. That means thinking outside the box. It means recognising that your next high-impact performer may not come from a traditional background or follow a conventional career path. They may be a sector switcher, a self-taught developer or someone whose unique perspective proves to be the business's hidden advantage. And it means shifting from reactive recruitment to proactive workforce planning, identifying adjacent skillsets, investing in internal upskilling and building diverse teams equipped for complex, ever-evolving challenges. From our work with industry leaders, we've seen a consistent pattern among the organisations staying ahead of the curve. They decentralise hiring, moving beyond local markets, tapping into remote and international talent pools rather than restricting themselves to a narrow geography. For companies such as this, hybrid work isn't just a job perk or a benefit for incoming employees – it's a structural enabler for accessing hard-to-find skills and diversifying talent sources. Industry leaders co-create the pipeline, build strategic partnerships with universities and training providers, support non-traditional pathways such as bootcamps and apprenticeships and adopt skills-based hiring models. They don't wait for government policy to fix the system; they actively shape it themselves. And they plan for potential. They use data and workforce intelligence to anticipate emerging needs and act early, planning for the skills they'll need next, not just the roles they have now. Strategising like this to close skills gaps is a job for the whole company – it's far from simply an HR issue. It should be a business-critical priority that demands board-level ownership, strategic investment, leadership accountability and a long-term vision that spans regions and sectors. After all, breakthrough technologies are reshaping our economy, society and world of work. There are big wins to be had in this period of unprecedented and extraordinary technological promise across STEM industries. But this race to innovate is no longer just a battle of ideas – it's a battle for capability. The question is no longer how, or who, to hire, but how to build a lasting, adaptable team. Because in the end, it won't be the boldest vision or the brightest idea that wins. It will be the organisation that builds the capability to deliver, time and time again. SThree partners with forward-looking organisations to build the resilient, skilled STEM workforces needed to thrive in a changing world. If you're ready to stop chasing talent and start shaping capability, get in touch. Let's outpace tomorrow, together. Timo Lehne is CEO of Global STEM Workforce Consultancy SThree plc. Appointed CEO in April 2022, he previously led SThree's largest region, DACH (Germany, Austria and Switzerland). Timo began his career with SThree in 2006 as a sales consultant and rapidly progressed through leadership roles. He holds a degree in International Economics and brings nearly two decades of experience in STEM workforce solutions.
Daily Mail
24-06-2025
- Business
- Daily Mail
SThree shares soar as US contractor demand slows global hiring slump
SThree shares jumped on Tuesday as improved contractual hiring in the US helped slow a sharp fall in the recruiter's global fee income. The group, which focuses on recruitment in STEM industries, reported that its net fees fell by 14 per cent to £159.1million in the six months ending May. Difficult trading conditions affected both contract and permanent hiring, as well as the firm's three largest markets of Germany, the Netherlands, and the UK. The result chimes with the performance of recruitment rivals Hays and Robert Walters, as the industry suffers the impact of a global hiring slowdown. President Donald Trump's tariffs, including a 10 per cent baseline levy on most US goods imports, have also exacerbated global economic uncertainty and weighed on hiring. But SThree reported a sequential improvement in its contract segment in the second quarter compared with the first, driven by strong demand for engineering roles in the US. British companies, meanwhile, are increasingly holding back on hiring, leading to the number of UK job vacancies decreasing by 63,000 to 736,000 over the three months to May. The decline also coincided with minimum wage and National Insurance hikes that Chancellor Rachel Reeves originally announced in her Autumn Budget. From early April, the National Living Wage went up by 6.7 per cent to £12.21 per hour, and employers' NI contributions rose from 13.8 per cent on annual salaries above £9,100 to 15 per cent on wages exceeding £5,000. Consequently, SThree's first-half net fees in the UK plummeted by 28 per cent to £14.2million. But shares in the London-based company climbed more than 9 per cent in early trading before retreating to be 6.9 per cent higher at around 11:15am, although they were still the FTSE 250 Index's best performer. The group's net fees shrank by 14 per cent to £47million in Germany due to weaker demand for technology skills, and by 22 per cent to £28.6million in the Netherlands amidst reduced availability of engineering and technology roles. Following a record prior-year result, SThree's net fees from engineering were 9 per cent lower, while in the firm's life sciences and technology segments, they were 15 per cent and 18 per cent down, respectively. However, SThree said it still expects to make around £25million in pre-tax profits this financial year. Timo Lehne, chief executive of SThree, remarked: 'Whilst market conditions remain challenging, the group delivered a stable first half performance, with a modest sequential improvement quarter-on-quarter. 'As we look forward to an improvement in market conditions, we remain confident in our belief that global megatrends, such as technological advancements and demographic shifts, will continue to shape the future world of work.'
Times
24-06-2025
- Business
- Times
SThree cuts jobs as hiring downturn continues
SThree has cut hundreds more roles in recent months, with the two-year downturn in the hiring market still showing no signs of ending. The London-based recruiter said conditions 'remain challenging', prompting it to cut another 10 per cent of its workforce, which now stands at about 2,430, down from 2,700 at the end of November. SThree, which operates in 11 countries, said some of those job losses were because of natural churn and being 'highly selective' about when it chooses to replace someone. Others, however, were down to the 'early realisation of further operational efficiencies' from the group's technology improvement programme. SThree is investing heavily in artificial intelligence to screen candidates, interpret contracts and sign off on workers' contract extensions. More 'AI-enabled processes' are in the works too.
Times
24-06-2025
- Business
- Times
Business live: Oil price drops after Trump announces ceasefire
SThree, the recruitment company, reported a 14 per cent fall in group net fees year-on-year in the six months to the end of May as economic uncertainty weighed on contract and permanent hiring. Timo Lehne, chief executive, said: 'Whilst market conditions remain challenging, the group delivered a stable first half performance, with a modest sequential improvement quarter-on-quarter.' The company still expects full-year pre-tax profits of £25 million, in line with guidance. Britain's biggest recruiter, Hays, sent shockwaves through the sector last week when it warned that 'broad-based weakness' in the permanent hiring market meant that this year's profits would be even lower than the City feared, pushing the shares to levels not seen in 13 years. The shares have fallen 48 per cent over the past year. Google has said critical areas of its British business are under threat following a provisional ruling by the competition regulator, which has set out ways to mitigate its dominance in the search market (Katie Prescott writes). The Competition and Markets Authority (CMA) has proposed giving Google 'strategic market status' to give it greater control over how the company operates search services. The regulator said this morning that Google could have to make changes to its services, including offering 'choice screens' so users can pick different search providers, and to ensure businesses are ranked fairly on Google search. An investigation by the watchdog, the first under its new beefed-up regime aimed at tech companies, found Google had substantial and entrenched market power or strategic market status. AI chatbots are not included in the ruling yet, although the CMA is keeping this under review. Markets seem to be focusing on the de-escalation of tensions despite Israel not confirming the ceasefire. In the past few hours, Israeli warplanes struck and destroyed missile launchers in western Iran, the military said, adding that the launchers were 'ready to be fired at Israeli territory'. The Israeli shekel rose 1 per cent against the dollar. Trump announced the ceasefire between Israel and Iran on Monday. An Iranian official confirmed that Tehran had agreed to a ceasefire, but its foreign minister said there would be no cessation of hostilities unless Israel stopped its attacks. An Iranian missile strike hit Beersheba before the ceasefire took hold, killing four people. Markets in Asia rose in a relief rally on news of a ceasefire. Japan's Nikkei 225 index was up 1.16 per cent and Hong Kong's Hang Seng gained 1.95 per cent. The FTSE 100 is expected to open 29 points higher when trading starts, with other European markets also forecast to rise. The price of gold slid 0.75 per cent to $3,343.80 an ounce as safe-haven buying of the metal eased. The dollar, which was buoyed by safe-haven buying on Monday, was also weaker against a basket of currencies. The pound is trading up 0.3 per cent at $1.3565. Oil has fallen sharply after President Trump announced a 'complete and total ceasefire' between Israel and Iran. Brent crude has fallen to $68.76 a barrel, having topped $79 a barrel in recent days on fears that the Iran would close the Strait of Hormuz, through which around a fifth of total global oil supplies and fifth of global exports of liquefied natural gas (LNG) pass. The US Federal Reserve calculates that a $10-per-barrel increase in the price of crude oil raises inflation by 0.2 per cent and sets back economic growth by 0.1 per cent.
Reuters
24-06-2025
- Business
- Reuters
British recruiter SThree's net fees drop as global uncertainty hits hiring
June 24 (Reuters) - British recruiter SThree (STEMS.L), opens new tab reported on Tuesday a 14% drop in net fees for the half-year period ended May 31, as economic uncertainty across key markets curbed both contract and permanent hiring. Following U.S. President Donald Trump's broad tariffs in April, employer and job seeker confidence has weakened, leading to slower hiring and a decline in new job openings. Still, Sthree reported a sequential improvement in its contract segment in the second quarter compared with the first, driven by strong demand for engineering roles in the United States. The company posted group net fees of 159.1 million pounds ($215.80 million) for the first half of fiscal 2025, down from 188.7 million pounds in the prior year. The recruiter reiterated its forecast for an annual pre-tax profit of 25 million pounds. ($1 = 0.7372 pounds)
