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Segment Disclosures
 9 Months Ended
Oct. 01, 2017
Segment Reporting [Abstract]  
Segment Disclosures
Segment Disclosures 
The Company’s segments are based on the organizational structure for which financial results are regularly evaluated by the CODM to determine resource allocation and assess performance. During the first quarter of 2017, the Company’s CODM, who was previously the Company’s Chief Executive Officer (“CEO”) and Chief Operating Officer, was determined to be the Company’s CEO. The Company regularly assesses its organizational structure, product/service offerings and information evaluated by the CODM to determine whether any changes have occurred that would impact its segment reporting structure. During the first quarter of 2017, the Company realigned its business into three reportable segments, which reflect how the Company delivers services to customers and how its business is organized internally. These segments are: (1) Americas Staffing, (2) Global Talent Solutions (“GTS”) and (3) International Staffing. Accordingly, prior year’s segment information was recast to conform to the current presentation. Intersegment revenue represents revenue earned between the reportable segments and is eliminated from total segment revenue from services.
Americas Staffing represents the Company’s branch-delivered staffing business in the U.S., Canada, Puerto Rico, Mexico and Brazil. International Staffing represents the EMEA region branch-delivered staffing business, as well as the Company’s APAC region staffing business prior to the transaction to form the TS Kelly Asia Pacific joint venture in July 2016. Americas Staffing and International Staffing both deliver temporary staffing, as well as direct-hire placement services, in office-clerical, educational, light industrial and professional and technical specialties within their geographic regions.
GTS combines the delivery structure of the Company’s outsourcing and consulting group and centrally delivered staffing business. It reflects the trend of customers towards the adoption of holistic talent supply chain solutions which combine contingent labor, full-time hiring and outsourced services. GTS includes centrally delivered staffing, recruitment process outsourcing (“RPO”), contingent workforce outsourcing (“CWO”), business process outsourcing (“BPO”), payroll process outsourcing (“PPO”), executive placement, career transition/outplacement services and advisory services.
Corporate expenses that directly support the operating units have been allocated to Americas Staffing, GTS and International Staffing based on work effort, volume or, in the absence of a readily available measurement process, proportionately based on gross profit realized. In connection with the realignment of the segment structure, we reassessed the allocation of corporate expenses to the operating segments and updated the allocation method for corporate expenses which do not have a readily available measurement from revenue to gross profit. Prior periods have been recast to reflect the current period allocation method. The update had no impact on the consolidated financial information.
The following tables present information about the reported revenue from services and gross profit of the Company by segment, along with a reconciliation to consolidated earnings before taxes and equity in net earnings (loss) of affiliate, for the third quarter and September year to date 2017 and 2016. Asset information by reportable segment is not presented, since the Company does not produce such information internally nor does it use such data to manage its business.
 
Third Quarter
 
September Year to Date
 
2017
 
2016
 
2017
 
2016
 
(In millions of dollars)
Revenue from Services:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Americas Staffing
$
554.8

 
$
518.2

 
$
1,703.5

 
$
1,614.7

Global Talent Solutions
503.0

 
495.0

 
1,495.8

 
1,486.5

International Staffing
275.6

 
239.3

 
766.0

 
885.6

 
 
 
 
 
 
 
 
Less: Intersegment revenue
(4.6
)
 
(4.7
)
 
(13.2
)
 
(14.4
)
 
 
 
 
 
 
 
 
Consolidated Total
$
1,328.8

 
$
1,247.8

 
$
3,952.1

 
$
3,972.4

 
Third Quarter
 
September Year to Date
 
2017
 
2016
 
2017
 
2016
 
(In millions of dollars)
Earnings from Operations:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Americas Staffing gross profit
$
98.8

 
$
95.0

 
$
307.9

 
$
292.9

Americas Staffing SG&A expenses
(85.5
)
 
(80.7
)
 
(253.0
)
 
(245.9
)
Americas Staffing Earnings from Operations
13.3

 
14.3

 
54.9

 
47.0

 
 
 
 
 
 
 
 
Global Talent Solutions gross profit
93.0

 
86.2

 
272.2

 
257.2

Global Talent Solutions SG&A expenses
(72.2
)
 
(70.2
)
 
(220.8
)
 
(213.6
)
Global Talent Solutions Earnings from Operations
20.8

 
16.0

 
51.4

 
43.6

 
 
 
 
 
 
 
 
International Staffing gross profit
39.5

 
35.0

 
112.7

 
131.4

International Staffing SG&A expenses
(32.3
)
 
(30.5
)
 
(96.2
)
 
(116.3
)
International Staffing Earnings from Operations
7.2

 
4.5

 
16.5

 
15.1

 
 
 
 
 
 
 
 
Less: Intersegment gross profit
(0.6
)
 
(1.1
)
 
(1.7
)
 
(3.2
)
Less: Intersegment SG&A expenses
0.6

 
1.1

 
1.7

 
3.2

Net Intersegment Activity
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
Corporate
(23.1
)
 
(16.0
)
 
(67.9
)
 
(62.3
)
Consolidated Total
18.2

 
18.8

 
54.9

 
43.4

Gain on investment in TS Kelly Asia Pacific
—

 
87.2

 
—

 
87.2

Other Expense, Net
(0.4
)
 
(0.4
)
 
(2.5
)
 
(1.3
)
 
 
 
 
 
 
 
 
Earnings before taxes and equity in net earnings (loss) of affiliate
$
17.8

 
$
105.6

 
$
52.4

 
$
129.3