Incentives Advisors partners with Taleo to screen for hiring-related government incentives

Makes it easy for employers with less than 5,000 employees to take advantage of millions of dollars in government stimulus funds

TEMPE, Arizona - September 8, 2009 - Incentives Advisors, a national company that specializes in identifying, administering and securing hiring-related government incentives, today announced a partnership with Taleo (NASDAQ: TLEO), the leading provider of on-demand talent management solutions. Through this alliance, customers using Taleo Business Edition Recruit™, the company's cost-effective and easy-to-use recruiting solution for businesses with fewer than 5,000 employees, will be able to earn tax credits when they hire.

To stimulate the economy, the Federal government and state agencies are creating programs that will reward businesses creating jobs anywhere from $1,500 up to $10,000 for each job created. Yet, based on a recent survey conducted by Incentives Advisors, less than 10% of small- and medium-sized businesses (SMBs) are aware of, or are currently screening for, government-supported hiring incentives. For the 10% of SMBs that are, most are screening for Work Opportunity Tax Credit, which is only one of 172 available hiring-related tax credit programs. By only capturing limited incentives, SMBs are leaving tens of thousands of dollars unclaimed.

"There are over $10 billion in hiring-related tax credits, grants, training funds, and other government incentives available for employers every year. Many of these financial benefits are not captured due to the complexities of keeping current with all of the programs, their requirements and the administrative burden," comments Bill Becker, CEO of Incentives Advisors. "Combining our expertise in tax and technology, we have mastered the screening of available local, state, and federal hiring-related credit. Screening through Taleo Business Edition will automate the process of claiming potentially lucrative tax credits."

"Now is the time for our Taleo Business Edition clients to take advantage of this new service. As SMB employers hire within the next year, they can earn government funds while they grow," said Jason Blessing, General Manager and Group Vice President of Taleo Business Edition. "We chose to partner with Incentives Advisors because of their focus on delivering hiring-related incentive services and administration to the SMB market."

For Taleo Business Edition customers, the ROI from better screening for hiring incentives could actually offset the cost of the Taleo Business Edition Recruit product.

How it works

When candidates apply for a job through the Taleo Business Edition Recruit system, they will answer a few customized screening questions based on tax credits available in a specific state and city. The IncentivesGrid™ will pull necessary candidate information from Taleo Recruit and will then identify if the candidate is eligible for a local, state and/or federal incentive program, flag them, and provide the government dollar value to the recruiter. Recruiters can then view the candidates that are eligible for government incentives and the dollar amount that will be rewarded by the government. When the company hires an eligible candidate, the Incentives Advisors system will electronically populate all required Federal and state forms, reducing the chance of human error and eliminating 92% of the paper typically involved in the screening process.

The integrated hiring incentive offering is available immediately to existing or new Taleo Business Edition customers.

About Incentives Advisors

Incentives Advisors (IA) is a privately held company headquartered in Tempe, Arizona with offices in California and Massachusetts. IA is the industry leader in helping small to mid size businesses with capturing all government incentives available to them in the U.S. To learn how Incentives Advisors can help companies become more profitable, visit www.incentivesadvisors.com

About Taleo

Taleo (NASDAQ: TLEO) is the leader in on-demand unified talent management solutions that empower organizations of all sizes to assess, acquire, develop and align their workforces for improved business performance. Approximately 4,100 organizations use Taleo for talent acquisition and performance management, including 46 of the Fortune 100 and approximately 3,400 small and medium sized businesses across 200 countries and territories. Known for its strong configurability and usability, Taleo runs on a world-class infrastructure and achieves 99.9% availability. Taleo's Talent Grid will harness the resources of the Taleo community of customers, candidates, and partners to power the talent needs of companies around the world.

Forward-looking Statements

This release contains forward-looking statements, including statements regarding the demand for Taleo's solutions, results from use of Taleo's solutions and the combined solutions and services of Taleo and Incentives Advisors and general business conditions. Any forward-looking statements contained in this press release are based upon Taleo's historical performance and its current plans, estimates and expectations and are not a representation that such plans, estimates, or expectations will be achieved. These forward-looking statements represent Taleo's expectations as of the date of this press announcement. Subsequent events may cause these expectations to change, and Taleo disclaims any obligation to update the forward-looking statements in the future. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially. Further information on potential factors that could affect actual results is included in Part II, Item 1A of Taleo's Quarterly Report on Form 10-Q, as filed with the SEC on August 7, 2009, and in other reports filed by Taleo with the SEC.