Compensation Expectations Run High Among White Collar Executives; Survey Finds 75% Expect to Receive a Raise This Year.

Business Editors

LOS ANGELES--(BUSINESS WIRE)--April 19, 2004

Three-quarters of currently employed executives expect to receive a salary increase this year, according to research released today by Korn/Ferry International (NYSE:KFY), the world's leading provider of recruitment solutions. The response illustrates a shift in the attitude among today's workforce, from concern over job security to an expectation of compensation increases in line with the improving economy.

During the recessed market, many executives took on greater workloads as colleagues and staff were laid off and organizations downsized. A large percentage of these professionals have not received a salary adjustment in several years. "With the recent up tick in corporate earnings and on Wall Street, much of today's workforce now believes that it is time for their employers to make them whole after years of picking up the slack and pulling more than their fair share of the weight," says Paul C. Reilly, Chairman and CEO of Korn/Ferry International.

In addition, the survey reveals that company loyalty remains almost non-existent as 96% of executives around the world responded that they do not expect to stay with their current company for the rest of their career. "The fluctuating economy has left many senior executives feeling battered," says Reilly. "They've witnessed enough to know that demonstrated loyalty is no longer a guarantee of job security. While they still may be working hard, they're not averse to keeping their eyes open for better opportunities."

Additional findings from the Korn/Ferry International Executive Quiz:

Do you expect to remain with your current employer through the
entirety of your career? (Number of Executives: 2,686)

Yes                            4%
No                            96%

Do you expect to receive a salary increase this year? (Number of
Executives: 3,003)

Yes                           55%
No                            18%
I am currently unemployed     27%

Would you be interested in working with an Executive Coach? (Number of
Executives: 4,724)

Yes                           74%
No                            26%

Do you think you could find your next job online? (Number of
Executives: 2,105)

Yes                           68%
No                            33%

About the Korn/Ferry Executive Quiz

The Korn/Ferry International Executive Quiz is based on a global survey of executives registered with the firm's online Executive Center, www.ekornferry.com. Respondents from 60 countries, representing a wide spectrum of industries and functional areas, participated in the Executive Quiz during February and March, 2004.

About Korn/Ferry International

Korn/Ferry International, with over 70 offices in 36 countries, is the world's leading provider of recruitment solutions. Based in Los Angeles, the firm works closely with clients worldwide to deliver customized executive search, management assessment and mid-level search services, including the identification of CEOs, COOs, CFOs, board members and other senior-level executives; the formal evaluation of senior management teams; and the recruitment of middle managers through its Futurestep subsidiary. For more information, visit the Korn/Ferry International Web site at www.kornferry.com or the Futurestep Web site www.futurestep.com.