General Employment Announces Proactive Measures

General Employment Announces Proactive Measures

OAKBROOK TERRACE, Ill., July 7 /PRNewswire-FirstCall/ -- General Employment Enterprises, Inc. (Amex: JOB) announced today that it plans to take a number of proactive measures designed to contain losses, increase branch productivity and position the Company for a turnaround. Herbert F. Imhoff, Jr., board chairman and CEO explained, "We continue to be concerned about the economy and its effect on our operations, and in turn, our bottom line. Our overall operational performance is unacceptable by any standards, and as a result, we will be closely examining the performance and potential of all of our offices. The Company closed three of its unprofitable offices this year, and we will not rule out closing other underperforming branches."

Continuing, Mr. Imhoff said, "In order to provide additional support to our branches, we have implemented special training programs designed to increase production levels, and to aid in recruitment and retention of the staff that are so critical to our efforts. We believe our investment in these programs will not only result in improved productivity, but will have a positive impact on employee morale."

In conclusion, Mr. Imhoff said, "Right now, reducing our overall general and administrative expenses is a top priority. We are maintaining tight controls over spending, and continue to critically review our cost-cutting options. We are prepared to implement some of those options if a turnaround is slow in coming."

Business Information

General Employment provides professional staffing services through a network of 17 branch offices located in 9 states, and specializes in information technology, accounting and engineering placements.

The Company's business is highly dependent on national employment trends in general and on the demand for professional staff in particular. Because long-term contracts are not a significant part of the Company's business, future results cannot be reliably predicted by considering past trends or by extrapolating past results. Some of the factors that could affect the Company's future performance include, but are not limited to, general business conditions, the demand for the Company's services, competitive market pressures, the ability of the Company to attract and retain qualified personnel for regular full-time placement and contract assignments, the possibility of incurring liability for the Company's business activities, including the activities of contract employees and events affecting its contract employees on client premises, and the ability of the Company to attract and retain qualified corporate and branch management.

SOURCE General Employment Enterprises, Inc.