"The Titans have got a decision on their hands," Ennis told Triple M's Dead Set Legends programme. "He has already come out and said he's not committing to anything, he wants to look at all offers.
"The Titans need to make a decision, because I thought the Titans were in a really good place.
"They found out who they were, they were heading in the right direction and I think, since the injection of Hayne last year with that super stardom that comes with him, I think they've gone backwards."
Hayne's signature was seen as a major coup for the club, which has struggled to gain traction on and off the field since their inception.
In 2015, they were placed into voluntary administration and taken over by the NRL, while Manly halfback Daly Cherry-Evans backed out of a major deal to join the club.
While Hayne's arrival was seen as a turning point, Ennis questioned whether he was worth the distractions.
"There's no doubt of his playing ability, no one's questioning that," he said. "I don't know if any other NRL side now will want to go there [and sign Hayne].
"Because it's so hard in the modern day to build that culture, everyone pulling in the same direction. The minute you have someone there and the focus is on them, it distracts from where you want to go."