Dec 1, 2012 RECRUITMENT company Harvey Nash said the growth of its IT outsourcing business in Vietnam had helped it to offset a four per cent decline in permanent recruitment in the UK and Ireland.
The group, which employs 4,000 people in 40 offices around the world, said it had performed ahead of expectations with revenue and gross profits up 10 per cent and five per cent respectively between August 1 and November 29.
Chief executive Albert Ellis said: “The economic uncertainty throughout the world has meant clients have tended to favour flexible contract and temporary hiring above permanent recruitment.
“In addition much of the increased demand is for specialist software engineers to design and deliver mobile and web based commercial applications.”
He said the climate favoured Harvey Nash’s services. The group directly employs 1,500 people in Vietnam at its software outsourcing company which works with customers including Hitachi, Honda and RelianceGlobalcom.
In the US, Harvey Nash said gross profits were up 14 per cent in the period, despite uncertainty during the election and the continued political impasse over the so-called ‘fiscal cliff’.
It said senior executive recruitment in Europe had slowed but it had seen an increase in temporary contracts, particularly in Germany and the Benelux region. It also said new offices in Hong Kong and Sydney were making good progress.
Steve Woolf, analyst at Numis, said it was another strong performance with the benefits of the increased demand for temporary staff flowing through to Harvey Nash’s earnings.