Three workers who alleged that they were subjected to racial discrimination while working for Hays have dropped their claims “without any money being paid to them”, according to a company statement.

Kevin Snagg of Twickenham, Middlesex, Chiuta Dube of Stratford, East London, and Ray Burkoh of Morden, Surrey, all alleged they had been victims of racism while working for the firm at its New Malden office.

The allegations included a colleague mimicking a Klu Klux Klan member by putting a napkin on his head and chanting during a company meal, while Snagg claimed a banana was thrown at him during a meeting when he said he was hungry.

The group also objected to a racist email that was circulated about Barack Obama in November 2008.

However, the trio has now dropped the claims. A statement from the company said: “Hays can confirm that the claimants have dropped their claims at the employment tribunal, without any money being paid to them by Hays. They have accepted that there is no evidence to suggest that Hays is an institutionally racist company.

“Specifically, they have accepted that there is no evidence to suggest that either the words spoken or the physical actions displayed by Hays staff members at a company meal in June 2008 were motivated by racial discrimination.”

The company did accept that the Obama email, which entered the company’s email system from outside sources, had been racially offensive, but added: “The matter was fully investigated and properly dealt with by Hays.”

Snagg, Dube and Burkoh dropped their claim in mid-December, four weeks into a scheduled six-week hearing.

Dale Langley and Co, who were representing the claimants, declined to comment when contacted by Recruiter.