Employease Listed in 'Visionary' Quadrant in 2003 Midmarket HRMS Magic Quadrant.

Business Editors

ATLANTA--(BUSINESS WIRE)--July 21, 2003

Employease(R), Inc., the leading provider of on-demand HR and benefits administration solutions, was the only vendor to be listed in the Visionary quadrant in Gartner's "2003 U.S. Midmarket HRMS Magic Quadrant Report." The report evaluated vendors on their ability to execute and completeness of vision.

The report also outlined several key trends that will impact the industry. Specifically, Gartner predicts that Business Service Providers (BSPs), providers that offer "software as a service" through "net-native" business applications, will "become the dominant vendors for midmarket HR software solutions by 2008."

According to the report, many current HRMS customers are dissatisfied with the total cost of ownership of in-house HRMS solutions. Gartner believes the interest in BSPs marks the beginning of a significant change in the HRMS market overall.

"We believe that Business Service Providers such as Employease will soon dominate the midmarket," said Phil Fauver, chief executive officer of Employease. "Over the next year, Employease will launch a series of major initiatives that will extend our leadership in the HRMS arena."

The "2003 U.S. Midmarket HRMS Magic Quadrant" identifies the leaders, challengers, visionaries, and niche players in this market. Vendors were evaluated in their ability to execute by examining their functionality, costs, services, sales and marketing, technology, and viability, as well as in their completeness of vision by looking at their company vision, product vision, service and support vision, and technology vision.

Employease provides a complete suite of on-demand HR and benefits administration solutions including applicant tracking, analytical reporting, benefits administration, employee self-service, open enrollment, manager self service, performance management, leave management, and connectivity to internal systems, benefit providers and other service providers.

About Employease

Employease(R), Inc. (http://www.employease.com) is the leading on-demand HR and benefit administration solution. More than 1,000 organizations use Employease to reduce administrative costs, improve employee service and increase HR value without the costs, risks, and limitations of traditional HR or benefits software. The company is working to inspire Human Resource managers to play a broader, more important role in the success of their organizations. The company also helps Human Resource managers inspire their own human resources - the employees and managers who make their company successful.

Employease and the Employease logo are registered trademarks and Employease Network is a trademark of Employease, Inc. All other trademarks are property of their respective owners.

The Magic Quadrant is copyrighted (2003) by Gartner, Inc. and is reused with permission, which permission should not be deemed to be an endorsement of any company or product depicted in the quadrant. The Magic Quadrant is Gartner, Inc.'s opinion and is an analytical representation of a marketplace at and for a specific time period. It measures vendors against Gartner defined criteria for a marketplace. The positioning of vendors within a Magic Quadrant is based on the complex interplay of many factors. Gartner does not advise enterprises to select only those firms in the "Leaders" quadrant. In some situations, firms in the Visionary, Challenger, or Niche Player quadrants may be the right matches for an enterprise's requirements. Well-informed vendor selection decisions should rely on more than a Magic Quadrant. Gartner research is intended to be one of many information sources including other published information and direct analyst interaction. Gartner, Inc. expressly disclaims all warranties, express or implied, of fitness of this research for a particular purpose.