ADP Hiring Index Reveals Background Checks Performed More Than Tripled since 1997; Number of Checks Increase 16 Percent This Year as Employers Continue to Take Advantage of Pre-Employment Screening.

ROSELAND, N.J. -- ADP Employer Services, a leading provider of integrated outsourced payroll and human resources services, today released its eighth annual Hiring Index, a yearly evaluation of hiring trends and issues. This year's study reveals a 16 percent increase in the number of background checks performed, 4,358,439 in 2004 compared to 3,762,677 in 2003. These findings mark the seventh consecutive year of increased usage of pre-employment screening services. The number of checks performed more than tripled since ADP Screening and Selection Services began compiling the Hiring Index in 1997* when 1,050,208 checks were conducted. This further supports the trend toward increased demand for screening and selection services.

"At Stanley Steemer, our field employees are quite literally the face of our company, providing carpet and upholstery cleaning services in our customer's homes and businesses. This makes it essential that we make informed hiring decisions and identify the best candidates possible to represent our company," said Eric M. Smith, Vice President of Human Resources for Stanley Steemer International, Inc. "By automating background screening and tailoring it to our needs, ADP Screening and Selection Services has helped us continue to provide the courteous and safe workforce our customers have come to expect. As a result, Stanley Steemer is confident that our employees are our greatest competitive advantage."

Of the more than four million background checks, ADP Screening and Selection Services discovered that nine percent contained a data inconsistency or negative information. The data inaccuracies are divided into five categories: criminal records, driving records, credit records, workers' compensation claims and reference verifications. ADP Screening and Selection Services helps employers to research and identify this information without taking focus away from other strategic initiatives.

Highlights and Report Findings:

--Reference Verifications: 50 percent of employment, education and/or credential reference checks revealed a difference of information between what the applicant provided and the source reported. This finding represents a two percent decrease compared to the 2004 Hiring Index.

In performing the reference verification checks, seven percent of the information differences were received with negative remarks from the source in regard to the applicant. In comparison to last year, this is a one percent decrease.

--Criminal Records: Five percent of records checked for a criminal record in the last seven years revealed the existence of one. This finding is consistent with the 2004 and 2003 Hiring Indexes.

--Driving Records: 29 percent had one or more violations or convictions on their driving record, a two percent decrease from last year. In addition, two percent had one or more drug or alcohol violations on their driving record in the last seven years.

--Workers' Compensation Claims: Among checks conducted to see if the applicant had a previous workers' compensation claim, eight percent showed the existence of one. A two percent decrease compared to checks of this type performed in 2003.

--Credit Records: 45 percent of credit records checked showed a judgment, lien or bankruptcy, or that they had been reported to a collection agency. This finding represents a one percent increase compared to the previous year.

"Employers consistently face hiring risks including applicant dishonesty, workplace violence, negligent hiring liability, turnover, theft and fraud," said Dean Suposs, general manager of ADP Screening and Selection Services. "As evidenced by the increased use of pre-employment screening, employers are realizing the value in performing background checks as a way to help ensure a qualified, experienced workforce."

ADP's Hiring Index is comprised of computerized calculations of the background verifications performed during the previous calendar year. Since its inception, the Hiring Index has shown the different areas in which candidate screening can help employers by highlighting where data inconsistencies on a candidate's resume can exist. As mentioned, the Hiring Index specifically measures criminal records, employment history, education and credential records, as well as driving, credit and workers' compensation claim records. The Hiring Index has also evolved to include background screening results within specific industries, including manufacturing, health services, food stores and services, business services, transportation and retail.

For additional ADP Screening and Selection Services statistics, please go to: www.adphire.com/hiringindex. ADP Screening and Selection Services provides outsourcing solutions to companies of all sizes from less than 10 employees to more than 10,000 employees. ADP Screening and Selection Services makes people selection easy by offering a solution that integrates an online application, job fit assessments, background screening, substance abuse testing and professional HR support. ADP Screening and Selection Services is part of ADP Employer Services (ES), a division of ADP, Inc.

About ADP

Automatic Data Processing, Inc. (NYSE:ADP), with approximately $8 billion in revenues and 550,000 clients worldwide, is one of the largest providers of a broad range of premier mission-critical, cost-effective transaction processing and information-based business solutions. ADP Employer Services (ES), a division of ADP, Inc., is a leading provider of integrated business administrative solutions that help its over 475,000 clients efficiently manage their internal processes, allowing them to focus on core competencies. ADP Employer Services' offerings include both traditional and Web-based outsourcing products and services, giving clients the ability to select from ADP's comprehensive range of World Class Service solutions. Services include: payroll, tax regulatory management, HRMS, benefit administration, time and labor management, retirement plan services, online recruiting, PEO services, and employment screening and selection. For more information about ADP Employer Services, or to contact a local ADP sales office, reach us at 1.800.225.5237 or visit the company's Web site at www.adp.com.

*Prior to 2002, the Hiring Index and screening and selection services were performed by Avert, Inc., which was purchased by ADP in June 2001.