Workstream Rated “Promising” in Gartner’s 2007 Marketscope for Employee Performance Management Software

Workstream Rated “Promising” in Gartner’s 2007 Marketscope for Employee Performance Management Software

Employee Performance Management is Key to Emerging Talent Management Suite

Workstream Inc. (NASDAQ:WSTM), a leading provider of on-demand compensation, performance and talent management solutions, today announced that its compensation, performance and succession planning solutions have received a rating of “Promising,” according to Gartner’s “Marketscope for Employee Performance Management (EPM) Software, 2007” report (Jim Holincheck, May 11, 2007). Noting the “market for employee performance management software is intense,” Gartner explains that “EPM is an important linchpin in an emerging broader suite of talent management applications.”

Gartner recently expanded its definition of EPM for the Marketscope report. “During the previous six months, we started to see customers selecting EPM solutions that were more integrated with compensation and succession management. Based on that feedback, we expanded the scope of this MarketScope to include all three areas.”

“Workstream is pursuing a strategy to deliver a unified suite of on-demand talent management applications,” said Deepak Gupta, President and CEO at Workstream. “The expanded definition of EPM is in line with our focus on unification and integration of compensation and performance management. The rich functionality of Workstream’s talent management solutions and the strength of our pay-for-performance integration in particular uniquely position us to deliver unified, comprehensive talent management to companies and organizations of all sizes.”

Interest in Workstream’s compensation, performance and succession planning solutions is increasing due to a number of product and market variables. All Workstream solutions have been designed to integrate seamlessly, thus facilitating speedy deployment, ease-of-use, and the sharing of valuable data across applications. Unified reporting and dashboards are another benefit, enabling more meaningful data analysis. And the on-demand nature of Workstream applications, coupled with the SAS 70 Type II environment in which they are hosted, helps to ensure low product costs, leading-edge security, and pay-per-employee-per-month (PEPM) pricing.

Likewise, competition for top talent and the expense associated with finding and retaining the best employees, has elevated the need for talent management in companies of all sizes. Workstream, with a common application for large and mid-size businesses alike, is helping companies resolve these challenges by delivering the most robust EPM and talent management solutions on the market.

The MarketScope is copyrighted May 11, 2007, by Gartner, Inc. and is reused with permission. The MarketScope is an evaluation of a marketplace at and for a specific time period. It depicts Gartner’s analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the MarketScope, and does not advise technology users to select only those vendors with the highest rating. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

About Workstream

Workstream provides on-demand compensation, performance and talent management solutions and services that help companies manage the entire employee lifecycle – from recruitment to retirement. Workstream’s TalentCenter provides a unified view of all Workstream products and services including Recruitment, Performance, Compensation, Development and Transition. Access to TalentCenter is offered on a monthly subscription basis under an on-demand software delivery model to help companies build high performing workforces, while controlling costs. With offices across North America, Workstream services customers including Chevron, Home Depot, Kaiser Permanente, Motorola, Nordstrom and Wells Fargo. For more information visit www.workstreaminc.com or call toll free 1-866-470-WORK.

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on the current expectations or beliefs of Workstream’s management and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: inability to grow our client base and revenue because of the number of competitors and the variety of sources of competition we face; client attrition; inability to offer services that are superior and cost effective when compared to the services being offered by our competitors; inability to further identify, develop and achieve success for new products, services and technologies; increased competition and its effect on pricing, spending, third-party relationships and revenues; as well as the inability to enter into successful strategic relationships and other risks detailed from time to time in filings with the Securities and Exchange Commission.

Contacts

Workstream Inc.
Gary Damiano, 650-340-4076
gary.damiano {at} workstreaminc(.)com