Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2016 | Nov. 02, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | ManpowerGroup Inc. | |
Entity Central Index Key | 871,763 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 67,058,656 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2016 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | Sep. 30, 2016 | Dec. 31, 2015 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 503.1 | $ 730.5 |
Accounts receivable, less allowance for doubtful accounts of $103.1 and $98.1, respectively | 4,581.9 | 4,243 |
Prepaid expenses and other assets | 112.1 | 119 |
Total current assets | 5,197.1 | 5,092.5 |
OTHER ASSETS: | ||
Goodwill | 1,284.1 | 1,257.4 |
Intangible assets, less accumulated amortization of $294.6 and $266.6, respectively | 309.1 | 326.5 |
Other assets | 776.6 | 694 |
Total other assets | 2,369.8 | 2,277.9 |
PROPERTY AND EQUIPMENT: | ||
Land, buildings, leasehold improvements and equipment | 612.2 | 585.4 |
Less: accumulated depreciation and amortization | 458.7 | 438.3 |
Net property and equipment | 153.5 | 147.1 |
Total assets | 7,720.4 | 7,517.5 |
CURRENT LIABILITIES: | ||
Accounts payable | 1,945 | 1,659.2 |
Employee compensation payable | 216.3 | 211.4 |
Accrued liabilities | 434.3 | 483.7 |
Accrued payroll taxes and insurance | 620.6 | 613.8 |
Value added taxes payable | 479.1 | 438.7 |
Short-term borrowings and current maturities of long-term debt | 36 | 44.2 |
Total current liabilities | 3,731.3 | 3,451 |
OTHER LIABILITIES: | ||
Long-term debt | 839.7 | 810.9 |
Other long-term liabilities | 676.6 | 563.1 |
Total other liabilities | 1,516.3 | 1,374 |
ManpowerGroup shareholders' equity | ||
Preferred stock, $.01 par value, authorized 25,000,000 shares, none issued | 0 | 0 |
Common stock, $.01 par value, authorized 125,000,000 shares, issued 114,938,027 and 114,504,928 shares, respectively | 1.2 | 1.2 |
Capital in excess of par value | 3,206.5 | 3,186.7 |
Retained earnings | 2,221.5 | 1,966 |
Accumulated other comprehensive loss | (324.7) | (286) |
Treasury stock at cost, 47,925,115 and 41,466,590 shares, respectively | (2,712.5) | (2,243.2) |
Total ManpowerGroup shareholders’ equity | 2,392 | 2,624.7 |
Noncontrolling interests | 80.8 | 67.8 |
Total shareholders’ equity | 2,472.8 | 2,692.5 |
Total liabilities and shareholders’ equity | $ 7,720.4 | $ 7,517.5 |
Consolidated Balance Sheets (U3
Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2016 | Dec. 31, 2015 |
CURRENT ASSETS: | ||
Allowance for doubtful accounts | $ 103.1 | $ 98.1 |
OTHER ASSETS: | ||
Accumulated amortization on intangible assets | $ 294.6 | $ 266.6 |
SHAREHOLDERS’ EQUITY: | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 25,000,000 | 25,000,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 125,000,000 | 125,000,000 |
Common stock, issued (in shares) | 114,938,027 | 114,504,928 |
Treasury stock at cost (in shares) | 47,925,115 | 41,466,590 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Income Statement [Abstract] | ||||
Revenues from services | $ 5,088.2 | $ 4,972.5 | $ 14,698 | $ 14,376 |
Cost of services | 4,229.9 | 4,120.4 | 12,205.2 | 11,931.3 |
Gross profit | 858.3 | 852.1 | 2,492.8 | 2,444.7 |
Selling and administrative expenses | 647.2 | 645.8 | 1,954 | 1,936.9 |
Operating profit | 211.1 | 206.3 | 538.8 | 507.8 |
Interest and other expenses | 11.4 | 9.4 | 34.4 | 27.2 |
Earnings before income taxes | 199.7 | 196.9 | 504.4 | 480.6 |
Provision for income taxes | 70.5 | 73 | 188.1 | 185.3 |
Net earnings | $ 129.2 | $ 123.9 | $ 316.3 | $ 295.3 |
Net earnings per share - basic (in dollars per share) | $ 1.89 | $ 1.63 | $ 4.46 | $ 3.80 |
Net earnings per share - diluted (in dollars per share) | $ 1.87 | $ 1.61 | $ 4.42 | $ 3.75 |
Weighted average shares - basic (in shares) | 68.4 | 76.1 | 70.9 | 77.7 |
Weighted average shares - diluted (in shares) | 69 | 77 | 71.6 | 78.7 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 129.2 | $ 123.9 | $ 316.3 | $ 295.3 |
Other comprehensive loss: | ||||
Foreign currency translation adjustments | 11.8 | (32.4) | 33.7 | (136.6) |
Translation adjustments on net investment hedge, net of income taxes of $(3.2), $(0.4), $(8.8) and $11.4, respectively | (5.5) | (0.6) | (15.7) | 20.3 |
Translation adjustments of long-term intercompany loans | (11.2) | (17.4) | (54.3) | 3.7 |
Unrealized gain (loss) on investments, net of income taxes of $0.2, $(0.1), $0.3 and $(0.4), respectively | 0.6 | (0.4) | 1.1 | (2) |
Defined benefit pension plans and retiree health care plan, net of income taxes of $(1.0), $0.2, $(1.3) and $0.7, respectively | (3.1) | 0.7 | (3.5) | 2 |
Total other comprehensive loss | (7.4) | (50.1) | (38.7) | (112.6) |
Comprehensive income | $ 121.8 | $ 73.8 | $ 277.6 | $ 182.7 |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Other comprehensive loss: | ||||
Income tax expense (benefit) on translation adjustments on net investment hedge | $ (3.2) | $ (0.4) | $ (8.8) | $ 11.4 |
Income tax expense (benefit) on unrealized gain on investments | 0.2 | (0.1) | 0.3 | (0.4) |
Income tax expense (benefit) on defined benefit pension plans and retiree health care plan | $ (1) | $ 0.2 | $ (1.3) | $ 0.7 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net earnings | $ 316.3 | $ 295.3 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation and amortization | 64 | 57.1 |
Deferred income taxes | 36.4 | 72.6 |
Provision for doubtful accounts | 14.5 | 13.2 |
Share-based compensation | 21 | 22.9 |
Excess tax benefit on exercise of share-based awards | (0.1) | (4.8) |
Changes in operating assets and liabilities, excluding the impact of acquisitions: | ||
Accounts receivable | (277.3) | (331.7) |
Other assets | (54.1) | (10.3) |
Other liabilities | 281.8 | 168.5 |
Cash provided by operating activities | 402.5 | 282.8 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Capital expenditures | (42.6) | (33.3) |
Acquisitions of businesses, net of cash acquired | (56.9) | (240.7) |
Proceeds from the sale of investments, property and equipment | 3.5 | 4.8 |
Cash used in investing activities | (96) | (269.2) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Net change in short-term borrowings | (3.9) | (2.3) |
Proceeds from long-term debt | 0 | 453.9 |
Repayments of long-term debt | (6.3) | (1.9) |
Payments for debt issuance costs | 0 | (2.5) |
Payments of contingent consideration for acquisitions | (2.9) | 0 |
Proceeds from share-based awards and other equity transactions | 5.5 | 99.8 |
Other share-based award transactions | (6.6) | (1.4) |
Repurchases of common stock | (462.6) | (523.2) |
Dividends paid | (60.8) | (62.1) |
Cash used in financing activities | (537.6) | (39.7) |
Effect of exchange rate changes on cash | 3.7 | (20.6) |
Change in cash and cash equivalents | (227.4) | (46.7) |
Cash and cash equivalents, beginning of year | 730.5 | 699.2 |
Cash and cash equivalents, end of period | 503.1 | 652.5 |
SUPPLEMENTAL CASH FLOW INFORMATION: | ||
Interest paid | 33.6 | 28.7 |
Income taxes paid, net | $ 106.6 | $ 65.9 |
Basis of Presentation and Accou
Basis of Presentation and Accounting Policies | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Accounting Policies | Basis of Presentation and Accounting Policies Basis of Presentation Certain information and footnote disclosures normally included in the financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission, although we believe that the disclosures are adequate to make the information presented not misleading. These Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements included in our 2015 Annual Report to Shareholders. The information furnished reflects all adjustments that, in the opinion of management, were necessary for a fair statement of the results of operations for the periods presented. Such adjustments were of a normal recurring nature, unless otherwise disclosed. Goodwill and Intangible Assets In accordance with the current accounting guidance for goodwill and other intangible assets, we perform an annual impairment test of goodwill at our reporting unit level and indefinite-lived intangible assets at our unit of account level during the third quarter, or more frequently if events or circumstances change that would more likely than not reduce the fair value of our reporting units below their carrying value. We performed our annual impairment test of our goodwill and indefinite-lived intangible assets during the third quarter of 2016 and determined that there was no impairment of our goodwill or our indefinite-lived intangible assets. Significant assumptions used in our annual goodwill impairment test during the third quarter of 2016 included: expected future revenue growth rates, operating unit profit margins, working capital levels, discount rates ranging from 10.8% to 15.3% , and a terminal value multiple. The expected future revenue growth rates and operating unit profit margins were determined after taking into consideration our historical revenue growth rates and operating unit profit margins, our assessment of future market potential, and our expectations of future business performance. Payroll Tax Credit In March 2016 and July 2015, we entered into an agreement to sell a portion of our French payroll tax credits earned in 2015 and 2014, respectively, for net proceeds of $143.1 ( €129.9 ) and $132.8 ( €120.1 ), respectively. We derecognized these receivables upon the sale date as the terms of the agreement are such that the transaction qualifies for sale treatment according to the accounting guidance on the transfer and servicing of assets. Subsequent Events We have evaluated events and transactions occurring after the balance sheet date through our filing date and have accrued or disclosed, if appropriate. |
Recently Issued Accounting Stan
Recently Issued Accounting Standards | 9 Months Ended |
Sep. 30, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board ("FASB") issued new accounting guidance on revenue from contracts with customers. The core principle of this guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. As amended, the new guidance is effective for us in 2018 and can be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption, with early adoption permitted, but not before 2017. We are currently assessing the impact of the adoption of this guidance on our Consolidated Financial Statements. In September 2015, the FASB issued new accounting guidance on business combinations. The new guidance eliminates the requirement to restate prior period financial statements for measurement period adjustments following a business combination. It requires that the cumulative impact of a measurement period adjustment (including the impact on prior periods) be recognized in the reporting period in which the adjustment is identified. The prior period impact of the adjustment should be either presented separately on the face of the income statement or disclosed in the notes. We adopted this guidance effective January 1, 2016. There was no impact of this adoption on our Consolidated Financial Statements. In January 2016, the FASB issued new accounting guidance on financial instruments. The new guidance changes the accounting for equity investments, financial liability under the fair value option and the presentation and disclosure requirements for financial instruments. The guidance is effective for us in 2018. We are currently assessing the impact of the adoption of this guidance on our Consolidated Financial Statements. In February 2016, the FASB issued new accounting guidance on leases. The new guidance requires that a lessee recognize assets and liabilities on the balance sheet for leases with lease terms longer than 12 months. The recognition, measurement and presentation of lease expenses and cash flows by a lessee will depend on its classification as a finance or operating lease. The guidance also includes new disclosure requirements providing information on the amounts recorded in the financial statements. The new guidance is effective for us in 2019. We are currently assessing the impact of the adoption of this guidance on our Consolidated Financial Statements. In March 2016, the FASB issued new accounting guidance on equity method investments. The new guidance eliminates the requirement to retroactively adopt the equity method of accounting when an investment qualifies for use of the equity method as a result of an increase in the level of ownership or degree of influence. The new guidance is effective for us in 2017. We do not expect the adoption of this guidance to have a material impact on our Consolidated Financial Statements. In March 2016, the FASB issued new accounting guidance on employee share-based payment accounting. The new guidance is intended to simplify various aspects of the accounting for employee share-based payments, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The new guidance is effective for us in 2017. We are currently assessing the impact of the adoption of this guidance on our Consolidated Financial Statements. In June 2016, the FASB issued new accounting guidance on financial instruments. The new guidance requires an application of an impairment model known as the current expected credit loss ("CECL") model to certain financial instruments. Using the CECL model, an entity recognizes an allowance for expected credit losses based on historical experience, current conditions, and forecasted information rather than the current methodology of delaying recognition of credit losses until it is probable a loss has been incurred. The new guidance is effective for us in 2020. We do not expect the adoption of this guidance to have a material impact on our Consolidated Financial Statements. In August 2016, the FASB issued new accounting guidance on the cash flow statement. The new guidance is intended to reduce diversity in practice in how certain transactions are classified in the statement of cash flows. The new guidance is effective for us in 2018. We do not expect the adoption of this guidance to have a material impact on our Consolidated Financial Statements. |
Share-Based Compensation Plans
Share-Based Compensation Plans | 9 Months Ended |
Sep. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation Plans | Share-Based Compensation Plans During the three months ended September 30, 2016 and 2015 , we recognized share-based compensation expense of $6.1 and $8.1 , respectively, and $21.0 and $22.9 for the nine months ended September 30, 2016 and 2015 , respectively. The expense relates to stock options, deferred stock, restricted stock and performance share units. Consideration received from share-based awards was $7.2 and $65.8 for the nine months ended September 30, 2016 and 2015 , respectively. We recognize share-based compensation expense in selling and administrative expenses on a straight-line basis over the service period of each award. |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2016 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions From time to time, we acquire and invest in companies throughout the world, including franchises. The total cash consideration for acquisitions, net of cash acquired, was $56.9 for the nine months ended September 30, 2016 , the majority of which took place in the Netherlands and Norway. The total cash consideration for acquisitions, net of cash acquired, was $240.7 for the nine months ended September 30, 2015 , of which $140.4 ( €125.3 ) was related to an acquisition of 7S Group GmbH. The majority of the remaining acquisitions for the nine months ended September 30, 2015 took place in Australia, Canada and the Netherlands. |
Restructuring Costs
Restructuring Costs | 9 Months Ended |
Sep. 30, 2016 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Costs | Restructuring Costs During the nine months ended September 30, 2016 , we made payments of $8.5 out of our restructuring reserve that was created in 2013 and 2015. We expect a majority of the remaining $7.9 reserve will be paid by the end of 2016. Changes in the restructuring reserve by reportable segment and Corporate are shown below. Americas (1) Southern Europe (2) Northern Europe APME Right Management Corporate Total Balance, January 1, 2016 $ 3.5 $ 1.7 $ 8.5 $ 1.7 $ 0.8 $ 0.2 $ 16.4 Costs paid or utilized (2.1 ) (0.1 ) (4.7 ) (1.2 ) (0.3 ) (0.1 ) (8.5 ) Balance, September 30, 2016 $ 1.4 $ 1.6 $ 3.8 $ 0.5 $ 0.5 $ 0.1 $ 7.9 (1) Balances related to the United States were $2.9 and $0.9 as of January 1, 2016 and September 30, 2016 , respectively. (2) Balances related to France were $1.5 and $1.6 as of January 1, 2016 and September 30, 2016 , respectively. Italy had no restructuring reserves recorded as of either January 1, 2016 or September 30, 2016 . |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes We recorded income tax expense at an effective rate of 35.3% for the three months ended September 30, 2016 , as compared to an effective rate of 37.1% for the three months ended September 30, 2015 . The 2016 rate was favorably impacted by the United States Work Opportunity Tax Credit ("WOTC"), which was enacted in December of 2015 and extends through 2019. The 35.3% effective tax rate in the quarter was higher than the United States Federal statutory rate of 35% , due primarily to the French business tax, expected repatriations, valuation allowances and other permanent items. We currently expect an annual effective tax rate of approximately 37% . We recorded income tax expense at an effective rate of 37.3% for the nine months ended September 30, 2016 , as compared to an effective rate of 38.6% for the nine months ended September 30, 2015 . The 2016 rate was favorably impacted by WOTC. The 37.3% effective tax rate for the nine months ended September 30, 2016 was higher than the United States Federal statutory rate of 35% due primarily to the French business tax, expected repatriations, valuation allowances and other permanent items. As of September 30, 2016 , we had gross unrecognized tax benefits related to various tax jurisdictions, including interest and penalties, of $44.6 . We had offsetting tax benefits of $1.0 , and the net amount of $43.6 would favorably impact the effective tax rate if recognized. As of December 31, 2015 , we had gross unrecognized tax benefits related to various tax jurisdictions, including interest and penalties, of $38.9 . We had offsetting tax benefits of $1.0 for a net amount of $37.9 . Our unrecognized tax benefits may decrease over the next 12 months pending the resolution of certain tax audits during this time. We conduct business globally in various countries and territories. We are routinely audited by the tax authorities of the various tax jurisdictions in which we operate. Generally, the tax years that could be subject to examination are 2009 through 2015 for our major operations in France, Germany, Japan, the United Kingdom and the United States. As of September 30, 2016 , we are subject to tax audits in Austria, Canada, Denmark, France, Germany, Italy, Portugal, Spain and the United States. We believe that the resolution of these audits will not have a material impact on earnings. |
Net Earnings Per Share
Net Earnings Per Share | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Net Earnings Per Share | Net Earnings Per Share The calculations of net earnings per share – basic and net earnings per share – diluted were as follows: 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Net earnings available to common shareholders $ 129.2 $ 123.9 $ 316.3 $ 295.3 Weighted-average common shares outstanding (in millions) Weighted-average common shares outstanding - basic 68.4 76.1 70.9 77.7 Effect of dilutive securities - stock options 0.2 0.4 0.2 0.5 Effect of other share-based awards 0.4 0.5 0.5 0.5 Weighted-average common shares outstanding - diluted 69.0 77.0 71.6 78.7 Net earnings per share - basic $ 1.89 $ 1.63 $ 4.46 $ 3.80 Net earnings per share - diluted $ 1.87 $ 1.61 $ 4.42 $ 3.75 There were 0.7 million and 0.2 million share-based awards excluded from the calculation of net earnings per share – diluted for the three months ended September 30, 2016 and 2015 , respectively, and 0.7 million and 0.3 million share-based awards excluded from the calculation of net earnings per share – diluted for the nine months ended September 30, 2016 and 2015 , respectively, as the exercise price for these awards was greater than the average market price of the common shares during the period. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Sep. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets We have goodwill, finite-lived intangible assets and indefinite-lived intangible assets as follows: September 30, 2016 December 31, 2015 Gross Accumulated Amortization Net Gross Accumulated Amortization Net Goodwill (1) $ 1,284.1 $ — $ 1,284.1 $ 1,257.4 $ — $ 1,257.4 Intangible assets: Finite-lived: Customer relationships 434.6 283.1 151.5 425.6 256.7 168.9 Other 18.3 11.5 6.8 16.9 9.9 7.0 452.9 294.6 158.3 442.5 266.6 175.9 Indefinite-lived: Tradenames (2) 52.0 — 52.0 54.0 — 54.0 Reacquired franchise rights 98.8 — 98.8 96.6 — 96.6 150.8 — 150.8 150.6 — 150.6 Total intangible assets $ 603.7 $ 294.6 $ 309.1 $ 593.1 $ 266.6 $ 326.5 (1) Balances were net of accumulated impairment loss of $513.4 as of both September 30, 2016 and December 31, 2015 . (2) Balances were net of accumulated impairment loss of $139.5 as of both September 30, 2016 and December 31, 2015 . Total consolidated amortization expense related to intangible assets for the remainder of 2016 is expected to be $9.6 and in each of the next five years is expected to be as follows: 2017 - $33.6 , 2018 - $30.7 , 2019 - $26.6 , 2020 - $21.5 and 2021 - $11.0 . Changes in the carrying value of goodwill by reportable segment and Corporate were as follows: Americas (1) Southern Europe (2)(3) Northern Europe (3) APME Right Management Corporate (4) Total Balance, January 1, 2016 $ 515.7 $ 97.2 $ 441.9 $ 75.6 $ 62.1 $ 64.9 $ 1,257.4 Goodwill acquired — — 21.5 1.8 — 0.6 23.9 Currency and other impacts 1.7 6.1 (10.8 ) 5.8 — — 2.8 Balance, September 30, 2016 $ 517.4 $ 103.3 $ 452.6 $ 83.2 $ 62.1 $ 65.5 $ 1,284.1 (1) Balances related to the United States were $476.9 and $476.5 as of January 1, 2016 and September 30, 2016 , respectively. (2) Balances related to France were $69.0 and $71.4 as of January 1, 2016 and September 30, 2016 , respectively. Balances related to Italy were $4.5 and $4.7 as of January 1, 2016 and September 30, 2016 , respectively. (3) Balance reflects the realignment of our organizational structure in Europe as of January 1, 2016. See Note 13 to the Consolidated Financial Statements for further information. (4) The majority of the Corporate balance relates to goodwill attributable to our acquisition of Jefferson Wells ( $55.5 ) which is now part of the United States reporting unit. For purposes of monitoring our total assets by segment, we do not allocate the Corporate balance to the respective reportable segments as this is commensurate with how we operate our business. We do, however, include these balances within the appropriate reporting units for our goodwill impairment testing. See table below for the breakout of goodwill balances by reporting unit. Goodwill balances by reporting unit were as follows: September 30, January 1, 2016 2016 United States $ 532.0 $ 532.4 Germany 130.7 127.1 Netherlands 118.4 98.7 United Kingdom 89.6 101.1 France 71.4 69.0 Right Management 62.1 62.1 Other reporting units 279.9 267.0 Total goodwill $ 1,284.1 $ 1,257.4 |
Retirement Plans
Retirement Plans | 9 Months Ended |
Sep. 30, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Retirement Plans | Retirement Plans The components of the net periodic benefit (credit) cost for our plans were as follows: Defined Benefit Pension Plans 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Service cost $ 1.3 $ 1.8 $ 4.7 $ 5.3 Interest cost 2.8 2.7 8.8 8.1 Expected return on assets (2.8 ) (2.8 ) (8.7 ) (8.4 ) Curtailment and settlement gain (6.8 ) — (6.8 ) — Other 0.4 1.1 1.0 3.3 Total benefit (credit) cost $ (5.1 ) $ 2.8 $ (1.0 ) $ 8.3 Retiree Health Care Plan 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Interest cost $ 0.1 $ 0.2 $ 0.5 $ 0.5 Net loss — 0.4 — 0.1 Prior service credit (0.2 ) (0.6 ) (0.6 ) (0.6 ) Total benefit credit $ (0.1 ) $ — $ (0.1 ) $ — Effective July 1, 2016, we terminated a defined benefit plan in Northern Europe and transitioned our employees to a defined contribution plan, resulting in a curtailment and settlement gain of $6.8 . During the three and nine months ended September 30, 2016 , contributions made to our pension plans were $2.2 and $4.4 , respectively, and contributions made to our retiree health care plan were $0.3 and $0.8 , respectively. During 2016 , we expect to make total contributions of approximately $5.0 to our pension plans and to fund our retiree health care payments as incurred. |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2016 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders’ Equity The components of accumulated other comprehensive loss, net of tax, were as follows: September 30, December 31, 2016 2015 Foreign currency translation $ (175.5 ) $ (209.2 ) Translation (loss) gain on net investment hedge, net of income taxes of $(6.0) and $2.8, respectively (5.7 ) 10.0 Translation loss on long-term intercompany loans (129.8 ) (75.5 ) Unrealized gain on investments, net of income taxes of $4.1 and $3.8, respectively 18.1 17.0 Defined benefit pension plans, net of income taxes of $(23.4) and $(22.3), respectively (35.8 ) (32.6 ) Retiree health care plan, net of income taxes of $2.2 and $2.4, respectively 4.0 4.3 Accumulated other comprehensive loss $ (324.7 ) $ (286.0 ) Noncontrolling Interests Noncontrolling interests, included in total shareholders' equity in our Consolidated Balance Sheets, represent amounts related to majority-owned subsidiaries in which we have a controlling financial interest. Net earnings attributable to these noncontrolling interests were $2.8 and $1.9 for the three months ended September 30, 2016 and 2015 , respectively, and $6.5 and $3.5 for the nine months ended September 30, 2016 and 2015 , respectively, which were recorded as expenses in interest and other expenses in our Consolidated Statements of Operations. Dividends On May 3, 2016 and April 28, 2015 , the Board of Directors declared a semi-annual cash dividend of $0.86 and $0.80 per share, respectively. The 2016 dividends were paid on June 15, 2016 to shareholders of record on June 1, 2016 . The 2015 dividends were paid on June 15, 2015 to shareholders of record on June 1, 2015 . On November 2, 2016 and October 29, 2015 , the Board of Directors declared a semi-annual cash dividend of $0.86 and $0.80 per share, respectively. The 2016 dividends are payable on December 15, 2016 to shareholders of record on December 1, 2016 . The 2015 dividends were paid on December 15, 2015 to shareholders of record on December 1, 2015 . Share Repurchases In July 2016, the Board of Directors authorized the repurchase of an additional 6.0 million shares of our common stock, with terms consistent with the previous authorization. This authorization was in addition to the October 2015 authorization to repurchase 6.0 million shares of our common stock and the December 2012 authorization to repurchase 8.0 million shares of our common stock. Share repurchases may be made from time to time through a variety of methods, including open market purchases, block transactions, privately negotiated transactions or similar facilities. During the nine months of 2016 , we repurchased a total of 6.4 million shares comprised of 5.3 million shares under the 2015 authorization and 1.1 million shares under the 2016 authorization, at a total cost of $462.6 . During the nine months of 2015 , we repurchased 6.0 million shares at a cost of $523.2 under the 2012 authorization. As of September 30, 2016 , there were 5.0 million shares remaining authorized for repurchase under the 2016 authorization and no shares remaining under either of the 2015 or 2012 authorizations. |
Interest and Other Expenses
Interest and Other Expenses | 9 Months Ended |
Sep. 30, 2016 | |
Other Nonoperating Income (Expense) [Abstract] | |
Interest and Other Expenses | Interest and Other Expenses Interest and other expenses consisted of the following: 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Interest expense $ 9.2 $ 9.2 $ 27.9 $ 25.4 Interest income (1.0 ) (0.7 ) (2.5 ) (1.9 ) Foreign exchange (gain) loss — (0.2 ) 1.6 0.5 Miscellaneous expenses, net 3.2 1.1 7.4 3.2 Interest and other expenses $ 11.4 $ 9.4 $ 34.4 $ 27.2 The increase in miscellaneous expenses for the three and nine months ended September 30, 2016 compared to 2015 was due to an increase in expenses related to net earnings attributable to noncontrolling interests and a decrease in income related to our equity investments. |
Derivative Financial Instrument
Derivative Financial Instruments and Fair Value Measurements | 9 Months Ended |
Sep. 30, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments and Fair Value Measurements | Derivative Financial Instruments and Fair Value Measurements We are exposed to various risks relating to our ongoing business operations. Among these risks are foreign currency exchange rate risk and interest rate risk, which can be managed through the use of derivative instruments. In certain circumstances, we enter into foreign currency forward exchange contracts (“forward contracts”) to reduce the effects of fluctuating foreign currency exchange rates on our cash flows denominated in foreign currencies. Our exposure to market risk for changes in interest rates relates primarily to our long-term debt obligations. We have historically managed interest rate risk through the use of a combination of fixed and variable rate borrowings. In accordance with accounting guidance on derivative instruments and hedging activities, we record all of our derivative instruments as either an asset or liability measured at their fair value. A portion of the €400.0 ( $446.3 ) notes due September 2022 and the €350.0 ( $392.6 ) notes due June 2018 was designated as a hedge of our net investment in our foreign subsidiaries with a Euro-functional currency as of September 30, 2016 . For this portion of the Euro-denominated notes, the gain or loss associated with foreign currency translation is recorded as a component of accumulated other comprehensive loss, net of taxes. As of September 30, 2016 and December 31, 2015 , we had an unrealized translation loss of $1.5 and unrealized gain of $14.1 , respectively, included in accumulated other comprehensive loss, net of taxes, as the net investment hedge was deemed effective. On occasion, forward contracts are designated as a hedge of our net investment in our foreign subsidiaries. As of September 30, 2016 and December 31, 2015 , we had a translation loss of $4.2 and $4.1 , respectively, included in accumulated other comprehensive loss, net of taxes, as the net investment hedge was deemed effective. For our forward contracts that are not designated as hedges, any gain or loss resulting from the change in fair value is recognized in the current period earnings. These gains or losses are offset by the exposure related to receivables and payables with our foreign subsidiaries and to interest due on our Euro-denominated notes, which are paid annually in June and September. We recorded a loss of $0.1 and $0.9 for the three months ended September 30, 2016 and 2015 , respectively, and a loss of $1.4 and a gain of $0.9 for the nine months ended September 30, 2016 and 2015 , respectively, in interest and other expenses associated with those forward contracts, which offset the loss and gain recorded for the items noted above. The fair value measurements of those items recorded in our Consolidated Balance Sheets as of September 30, 2016 and December 31, 2015 were as follows: Fair Value Measurements Using September 30, Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Deferred compensation plan assets $ 85.9 $ 85.9 $ — $ — $ 85.9 $ 85.9 $ — $ — Liabilities Foreign currency forward contracts $ 0.1 $ — $ 0.1 $ — $ 0.1 $ — $ 0.1 $ — Fair Value Measurements Using December 31, Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Deferred compensation plan assets $ 84.1 $ 84.1 $ — $ — Foreign currency forward contracts 0.1 — 0.1 — $ 84.2 $ 84.1 $ 0.1 $ — Liabilities Foreign currency forward contracts $ 0.5 $ — $ 0.5 $ — $ 0.5 $ — $ 0.5 $ — We determine the fair value of our deferred compensation plan assets, comprised of publicly traded securities, by using market quotes as of the last day of the period. The fair value of the foreign currency forward contracts is measured at the value from either directly or indirectly observable inputs from third parties. The carrying value of long-term debt approximates fair value, except for the Euro-denominated notes. The fair value of the Euro-denominated notes, as observable at commonly quoted intervals (level 2 inputs), was $898.5 and $858.2 as of September 30, 2016 and December 31, 2015 , respectively, compared to a carrying value of $838.9 and $810.2 , respectively. |
Segment Data
Segment Data | 9 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Segment Data | Segment Data Effective January 1, 2016, we realigned our organizational structure in Europe. As a result, Other Southern Europe now includes several countries that were previously reported in Northern Europe. All previously reported results have been restated to conform to the current year presentation. We are organized and managed primarily on a geographic basis, with Right Management operating as a separate global business unit. Each country and business unit generally has its own distinct operations and management team, providing services under our global brands, and maintains its own financial reports. We have an executive sponsor for each global brand who is responsible for ensuring the integrity and consistency of delivery locally. We develop and implement global workforce solutions for our clients that deliver the outcomes that help them achieve their business strategy. Each operation reports directly or indirectly through a regional manager, to a member of executive management. Given this reporting structure, all of our operations have been segregated into the following reporting segments: Americas, which includes United States and Other Americas; Southern Europe, which includes France, Italy and Other Southern Europe; Northern Europe; APME; and Right Management. The Americas, Southern Europe, Northern Europe and APME segments derive a significant majority of their revenues from the placement of contingent workers. The remaining revenues within these segments are derived from other workforce solutions and services, including recruitment and assessment, training and development, and ManpowerGroup Solutions. ManpowerGroup Solutions includes Recruitment Process Outsourcing (RPO), TAPFIN - Managed Service Provider (MSP), Proservia and Talent Based Outsourcing (TBO). The Right Management segment revenues are derived from career management and workforce consulting services. Segment revenues represent sales to external clients. Due to the nature of our business, we generally do not have export sales. We provide services to a wide variety of clients, none of which individually comprise a significant portion of revenues for us as a whole. 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Revenues from services: Americas: United States (a) $ 723.7 $ 769.6 $ 2,152.1 $ 2,257.3 Other Americas 383.7 367.0 1,082.2 1,094.4 1,107.4 1,136.6 3,234.3 3,351.7 Southern Europe: France 1,277.8 1,242.5 3,608.8 3,485.9 Italy 299.0 324.4 861.9 913.8 Other Southern Europe 389.5 364.4 1,114.7 1,044.3 1,966.3 1,931.3 5,585.4 5,444.0 Northern Europe 1,300.1 1,267.5 3,836.3 3,717.0 APME 650.9 570.2 1,841.7 1,659.9 Right Management 63.5 66.9 200.3 203.4 Consolidated (b) $ 5,088.2 $ 4,972.5 $ 14,698.0 $ 14,376.0 Operating unit profit: (c) Americas: United States $ 41.0 $ 45.5 $ 103.8 $ 104.6 Other Americas 14.0 13.2 39.4 40.5 55.0 58.7 143.2 145.1 Southern Europe: France 68.9 74.9 183.6 192.1 Italy 18.4 17.5 57.3 51.3 Other Southern Europe 13.7 13.1 34.1 29.1 101.0 105.5 275.0 272.5 Northern Europe 53.9 44.5 124.2 108.6 APME 25.3 23.9 66.8 61.2 Right Management 8.8 10.7 32.8 28.0 244.0 243.3 642.0 615.4 Corporate expenses (23.9 ) (28.9 ) (76.2 ) (84.5 ) Intangible asset amortization expense (9.0 ) (8.1 ) (27.0 ) (23.1 ) Operating profit 211.1 206.3 538.8 507.8 Interest and other expenses (11.4 ) (9.4 ) (34.4 ) (27.2 ) Earnings before income taxes $ 199.7 $ 196.9 $ 504.4 $ 480.6 (a) In the United States, where a majority of our franchises operate, revenues from services included fees received from the related franchise offices of $4.1 and $4.2 for the three months ended September 30, 2016 and 2015 , respectively, and $11.1 and $11.5 for the nine months ended September 30, 2016 and 2015 , respectively. These fees are primarily based on revenues generated by the franchise offices, which were $179.8 and $186.3 for the three months ended September 30, 2016 and 2015 , respectively, and $511.5 and $539.6 for the nine months ended September 30, 2016 and 2015 , respectively. (b) Our consolidated revenues from services include fees received from our franchise offices of $6.3 and $6.6 for the three months ended September 30, 2016 and 2015 , respectively, and $17.2 and $18.1 for the nine months ended September 30, 2016 and 2015 , respectively. These fees are primarily based on revenues generated by the franchise offices, which were $273.1 and $286.4 for the three months ended September 30, 2016 and 2015 , respectively, and $762.1 and $812.6 for the nine months ended September 30, 2016 and 2015 , respectively. (c) We evaluate segment performance based on operating unit profit (“OUP”), which is equal to segment revenues less cost of services and branch and national headquarters operating costs. This profit measure does not include goodwill and intangible asset impairment charges or amortization of intangibles related to acquisitions, interest and other income and expense amounts or income taxes. |
Basis of Presentation and Acc21
Basis of Presentation and Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation Certain information and footnote disclosures normally included in the financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission, although we believe that the disclosures are adequate to make the information presented not misleading. These Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements included in our 2015 Annual Report to Shareholders. The information furnished reflects all adjustments that, in the opinion of management, were necessary for a fair statement of the results of operations for the periods presented. Such adjustments were of a normal recurring nature, unless otherwise disclosed. Goodwill and Intangible Assets In accordance with the current accounting guidance for goodwill and other intangible assets, we perform an annual impairment test of goodwill at our reporting unit level and indefinite-lived intangible assets at our unit of account level during the third quarter, or more frequently if events or circumstances change that would more likely than not reduce the fair value of our reporting units below their carrying value. We performed our annual impairment test of our goodwill and indefinite-lived intangible assets during the third quarter of 2016 and determined that there was no impairment of our goodwill or our indefinite-lived intangible assets. Significant assumptions used in our annual goodwill impairment test during the third quarter of 2016 included: expected future revenue growth rates, operating unit profit margins, working capital levels, discount rates ranging from 10.8% to 15.3% , and a terminal value multiple. The expected future revenue growth rates and operating unit profit margins were determined after taking into consideration our historical revenue growth rates and operating unit profit margins, our assessment of future market potential, and our expectations of future business performance. Payroll Tax Credit In March 2016 and July 2015, we entered into an agreement to sell a portion of our French payroll tax credits earned in 2015 and 2014, respectively, for net proceeds of $143.1 ( €129.9 ) and $132.8 ( €120.1 ), respectively. We derecognized these receivables upon the sale date as the terms of the agreement are such that the transaction qualifies for sale treatment according to the accounting guidance on the transfer and servicing of assets. Subsequent Events We have evaluated events and transactions occurring after the balance sheet date through our filing date and have accrued or disclosed, if appropriate. |
Recently Issued Accounting St22
Recently Issued Accounting Standards (Policies) | 9 Months Ended |
Sep. 30, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board ("FASB") issued new accounting guidance on revenue from contracts with customers. The core principle of this guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. As amended, the new guidance is effective for us in 2018 and can be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption, with early adoption permitted, but not before 2017. We are currently assessing the impact of the adoption of this guidance on our Consolidated Financial Statements. In September 2015, the FASB issued new accounting guidance on business combinations. The new guidance eliminates the requirement to restate prior period financial statements for measurement period adjustments following a business combination. It requires that the cumulative impact of a measurement period adjustment (including the impact on prior periods) be recognized in the reporting period in which the adjustment is identified. The prior period impact of the adjustment should be either presented separately on the face of the income statement or disclosed in the notes. We adopted this guidance effective January 1, 2016. There was no impact of this adoption on our Consolidated Financial Statements. In January 2016, the FASB issued new accounting guidance on financial instruments. The new guidance changes the accounting for equity investments, financial liability under the fair value option and the presentation and disclosure requirements for financial instruments. The guidance is effective for us in 2018. We are currently assessing the impact of the adoption of this guidance on our Consolidated Financial Statements. In February 2016, the FASB issued new accounting guidance on leases. The new guidance requires that a lessee recognize assets and liabilities on the balance sheet for leases with lease terms longer than 12 months. The recognition, measurement and presentation of lease expenses and cash flows by a lessee will depend on its classification as a finance or operating lease. The guidance also includes new disclosure requirements providing information on the amounts recorded in the financial statements. The new guidance is effective for us in 2019. We are currently assessing the impact of the adoption of this guidance on our Consolidated Financial Statements. In March 2016, the FASB issued new accounting guidance on equity method investments. The new guidance eliminates the requirement to retroactively adopt the equity method of accounting when an investment qualifies for use of the equity method as a result of an increase in the level of ownership or degree of influence. The new guidance is effective for us in 2017. We do not expect the adoption of this guidance to have a material impact on our Consolidated Financial Statements. In March 2016, the FASB issued new accounting guidance on employee share-based payment accounting. The new guidance is intended to simplify various aspects of the accounting for employee share-based payments, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The new guidance is effective for us in 2017. We are currently assessing the impact of the adoption of this guidance on our Consolidated Financial Statements. In June 2016, the FASB issued new accounting guidance on financial instruments. The new guidance requires an application of an impairment model known as the current expected credit loss ("CECL") model to certain financial instruments. Using the CECL model, an entity recognizes an allowance for expected credit losses based on historical experience, current conditions, and forecasted information rather than the current methodology of delaying recognition of credit losses until it is probable a loss has been incurred. The new guidance is effective for us in 2020. We do not expect the adoption of this guidance to have a material impact on our Consolidated Financial Statements. In August 2016, the FASB issued new accounting guidance on the cash flow statement. The new guidance is intended to reduce diversity in practice in how certain transactions are classified in the statement of cash flows. The new guidance is effective for us in 2018. We do not expect the adoption of this guidance to have a material impact on our Consolidated Financial Statements. |
Restructuring Costs (Tables)
Restructuring Costs (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Restructuring and Related Activities [Abstract] | |
Changes in restructuring reserve by reportable segment and Corporate | Changes in the restructuring reserve by reportable segment and Corporate are shown below. Americas (1) Southern Europe (2) Northern Europe APME Right Management Corporate Total Balance, January 1, 2016 $ 3.5 $ 1.7 $ 8.5 $ 1.7 $ 0.8 $ 0.2 $ 16.4 Costs paid or utilized (2.1 ) (0.1 ) (4.7 ) (1.2 ) (0.3 ) (0.1 ) (8.5 ) Balance, September 30, 2016 $ 1.4 $ 1.6 $ 3.8 $ 0.5 $ 0.5 $ 0.1 $ 7.9 (1) Balances related to the United States were $2.9 and $0.9 as of January 1, 2016 and September 30, 2016 , respectively. (2) Balances related to France were $1.5 and $1.6 as of January 1, 2016 and September 30, 2016 , respectively. Italy had no restructuring reserves recorded as of either January 1, 2016 or September 30, 2016 . |
Net Earnings Per Share (Tables)
Net Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Calculations of net earnings per share basic and diluted | The calculations of net earnings per share – basic and net earnings per share – diluted were as follows: 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Net earnings available to common shareholders $ 129.2 $ 123.9 $ 316.3 $ 295.3 Weighted-average common shares outstanding (in millions) Weighted-average common shares outstanding - basic 68.4 76.1 70.9 77.7 Effect of dilutive securities - stock options 0.2 0.4 0.2 0.5 Effect of other share-based awards 0.4 0.5 0.5 0.5 Weighted-average common shares outstanding - diluted 69.0 77.0 71.6 78.7 Net earnings per share - basic $ 1.89 $ 1.63 $ 4.46 $ 3.80 Net earnings per share - diluted $ 1.87 $ 1.61 $ 4.42 $ 3.75 |
Goodwill and Other Intangible25
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill and intangible assets | We have goodwill, finite-lived intangible assets and indefinite-lived intangible assets as follows: September 30, 2016 December 31, 2015 Gross Accumulated Amortization Net Gross Accumulated Amortization Net Goodwill (1) $ 1,284.1 $ — $ 1,284.1 $ 1,257.4 $ — $ 1,257.4 Intangible assets: Finite-lived: Customer relationships 434.6 283.1 151.5 425.6 256.7 168.9 Other 18.3 11.5 6.8 16.9 9.9 7.0 452.9 294.6 158.3 442.5 266.6 175.9 Indefinite-lived: Tradenames (2) 52.0 — 52.0 54.0 — 54.0 Reacquired franchise rights 98.8 — 98.8 96.6 — 96.6 150.8 — 150.8 150.6 — 150.6 Total intangible assets $ 603.7 $ 294.6 $ 309.1 $ 593.1 $ 266.6 $ 326.5 (1) Balances were net of accumulated impairment loss of $513.4 as of both September 30, 2016 and December 31, 2015 . (2) Balances were net of accumulated impairment loss of $139.5 as of both September 30, 2016 and December 31, 2015 . |
Changes in the carrying value of goodwill by reportable segment and Corporate | Changes in the carrying value of goodwill by reportable segment and Corporate were as follows: Americas (1) Southern Europe (2)(3) Northern Europe (3) APME Right Management Corporate (4) Total Balance, January 1, 2016 $ 515.7 $ 97.2 $ 441.9 $ 75.6 $ 62.1 $ 64.9 $ 1,257.4 Goodwill acquired — — 21.5 1.8 — 0.6 23.9 Currency and other impacts 1.7 6.1 (10.8 ) 5.8 — — 2.8 Balance, September 30, 2016 $ 517.4 $ 103.3 $ 452.6 $ 83.2 $ 62.1 $ 65.5 $ 1,284.1 (1) Balances related to the United States were $476.9 and $476.5 as of January 1, 2016 and September 30, 2016 , respectively. (2) Balances related to France were $69.0 and $71.4 as of January 1, 2016 and September 30, 2016 , respectively. Balances related to Italy were $4.5 and $4.7 as of January 1, 2016 and September 30, 2016 , respectively. (3) Balance reflects the realignment of our organizational structure in Europe as of January 1, 2016. See Note 13 to the Consolidated Financial Statements for further information. (4) The majority of the Corporate balance relates to goodwill attributable to our acquisition of Jefferson Wells ( $55.5 ) which is now part of the United States reporting unit. For purposes of monitoring our total assets by segment, we do not allocate the Corporate balance to the respective reportable segments as this is commensurate with how we operate our business. We do, however, include these balances within the appropriate reporting units for our goodwill impairment testing. See table below for the breakout of goodwill balances by reporting unit. |
Schedule of goodwill balances by reporting unit | Goodwill balances by reporting unit were as follows: September 30, January 1, 2016 2016 United States $ 532.0 $ 532.4 Germany 130.7 127.1 Netherlands 118.4 98.7 United Kingdom 89.6 101.1 France 71.4 69.0 Right Management 62.1 62.1 Other reporting units 279.9 267.0 Total goodwill $ 1,284.1 $ 1,257.4 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Components of net periodic benefit cost | The components of the net periodic benefit (credit) cost for our plans were as follows: Defined Benefit Pension Plans 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Service cost $ 1.3 $ 1.8 $ 4.7 $ 5.3 Interest cost 2.8 2.7 8.8 8.1 Expected return on assets (2.8 ) (2.8 ) (8.7 ) (8.4 ) Curtailment and settlement gain (6.8 ) — (6.8 ) — Other 0.4 1.1 1.0 3.3 Total benefit (credit) cost $ (5.1 ) $ 2.8 $ (1.0 ) $ 8.3 Retiree Health Care Plan 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Interest cost $ 0.1 $ 0.2 $ 0.5 $ 0.5 Net loss — 0.4 — 0.1 Prior service credit (0.2 ) (0.6 ) (0.6 ) (0.6 ) Total benefit credit $ (0.1 ) $ — $ (0.1 ) $ — |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Equity [Abstract] | |
Components of accumulated other comprehensive loss, net of tax | The components of accumulated other comprehensive loss, net of tax, were as follows: September 30, December 31, 2016 2015 Foreign currency translation $ (175.5 ) $ (209.2 ) Translation (loss) gain on net investment hedge, net of income taxes of $(6.0) and $2.8, respectively (5.7 ) 10.0 Translation loss on long-term intercompany loans (129.8 ) (75.5 ) Unrealized gain on investments, net of income taxes of $4.1 and $3.8, respectively 18.1 17.0 Defined benefit pension plans, net of income taxes of $(23.4) and $(22.3), respectively (35.8 ) (32.6 ) Retiree health care plan, net of income taxes of $2.2 and $2.4, respectively 4.0 4.3 Accumulated other comprehensive loss $ (324.7 ) $ (286.0 ) |
Interest and Other Expenses (Ta
Interest and Other Expenses (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Other Nonoperating Income (Expense) [Abstract] | |
Schedule of interest and other expenses | Interest and other expenses consisted of the following: 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Interest expense $ 9.2 $ 9.2 $ 27.9 $ 25.4 Interest income (1.0 ) (0.7 ) (2.5 ) (1.9 ) Foreign exchange (gain) loss — (0.2 ) 1.6 0.5 Miscellaneous expenses, net 3.2 1.1 7.4 3.2 Interest and other expenses $ 11.4 $ 9.4 $ 34.4 $ 27.2 |
Derivative Financial Instrume29
Derivative Financial Instruments and Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of fair value measurements | The fair value measurements of those items recorded in our Consolidated Balance Sheets as of September 30, 2016 and December 31, 2015 were as follows: Fair Value Measurements Using September 30, Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Deferred compensation plan assets $ 85.9 $ 85.9 $ — $ — $ 85.9 $ 85.9 $ — $ — Liabilities Foreign currency forward contracts $ 0.1 $ — $ 0.1 $ — $ 0.1 $ — $ 0.1 $ — Fair Value Measurements Using December 31, Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Deferred compensation plan assets $ 84.1 $ 84.1 $ — $ — Foreign currency forward contracts 0.1 — 0.1 — $ 84.2 $ 84.1 $ 0.1 $ — Liabilities Foreign currency forward contracts $ 0.5 $ — $ 0.5 $ — $ 0.5 $ — $ 0.5 $ — |
Segment Data (Tables)
Segment Data (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Schedule of segment reporting information | 3 Months Ended 9 Months Ended September 30, September 30, 2016 2015 2016 2015 Revenues from services: Americas: United States (a) $ 723.7 $ 769.6 $ 2,152.1 $ 2,257.3 Other Americas 383.7 367.0 1,082.2 1,094.4 1,107.4 1,136.6 3,234.3 3,351.7 Southern Europe: France 1,277.8 1,242.5 3,608.8 3,485.9 Italy 299.0 324.4 861.9 913.8 Other Southern Europe 389.5 364.4 1,114.7 1,044.3 1,966.3 1,931.3 5,585.4 5,444.0 Northern Europe 1,300.1 1,267.5 3,836.3 3,717.0 APME 650.9 570.2 1,841.7 1,659.9 Right Management 63.5 66.9 200.3 203.4 Consolidated (b) $ 5,088.2 $ 4,972.5 $ 14,698.0 $ 14,376.0 Operating unit profit: (c) Americas: United States $ 41.0 $ 45.5 $ 103.8 $ 104.6 Other Americas 14.0 13.2 39.4 40.5 55.0 58.7 143.2 145.1 Southern Europe: France 68.9 74.9 183.6 192.1 Italy 18.4 17.5 57.3 51.3 Other Southern Europe 13.7 13.1 34.1 29.1 101.0 105.5 275.0 272.5 Northern Europe 53.9 44.5 124.2 108.6 APME 25.3 23.9 66.8 61.2 Right Management 8.8 10.7 32.8 28.0 244.0 243.3 642.0 615.4 Corporate expenses (23.9 ) (28.9 ) (76.2 ) (84.5 ) Intangible asset amortization expense (9.0 ) (8.1 ) (27.0 ) (23.1 ) Operating profit 211.1 206.3 538.8 507.8 Interest and other expenses (11.4 ) (9.4 ) (34.4 ) (27.2 ) Earnings before income taxes $ 199.7 $ 196.9 $ 504.4 $ 480.6 (a) In the United States, where a majority of our franchises operate, revenues from services included fees received from the related franchise offices of $4.1 and $4.2 for the three months ended September 30, 2016 and 2015 , respectively, and $11.1 and $11.5 for the nine months ended September 30, 2016 and 2015 , respectively. These fees are primarily based on revenues generated by the franchise offices, which were $179.8 and $186.3 for the three months ended September 30, 2016 and 2015 , respectively, and $511.5 and $539.6 for the nine months ended September 30, 2016 and 2015 , respectively. (b) Our consolidated revenues from services include fees received from our franchise offices of $6.3 and $6.6 for the three months ended September 30, 2016 and 2015 , respectively, and $17.2 and $18.1 for the nine months ended September 30, 2016 and 2015 , respectively. These fees are primarily based on revenues generated by the franchise offices, which were $273.1 and $286.4 for the three months ended September 30, 2016 and 2015 , respectively, and $762.1 and $812.6 for the nine months ended September 30, 2016 and 2015 , respectively. (c) We evaluate segment performance based on operating unit profit (“OUP”), which is equal to segment revenues less cost of services and branch and national headquarters operating costs. This profit measure does not include goodwill and intangible asset impairment charges or amortization of intangibles related to acquisitions, interest and other income and expense amounts or income taxes. |
Basis of Presentation and Acc31
Basis of Presentation and Accounting Policies - Goodwill and Intangible Assets (Details) | 3 Months Ended |
Sep. 30, 2016 | |
Minimum | |
Goodwill [Line Items] | |
Fair value inputs, discount rate | 10.80% |
Maximum | |
Goodwill [Line Items] | |
Fair value inputs, discount rate | 15.30% |
Basis of Presentation and Acc32
Basis of Presentation and Accounting Policies - Payroll Tax Credit (Details) € in Millions, $ in Millions | 1 Months Ended | |||
Mar. 31, 2016USD ($) | Mar. 31, 2016EUR (€) | Jul. 31, 2015USD ($) | Jul. 31, 2015EUR (€) | |
Accounting Policies [Abstract] | ||||
Proceeds from sale of other receivables | $ 143.1 | € 129.9 | $ 132.8 | € 120.1 |
Share-Based Compensation Plans
Share-Based Compensation Plans (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||
Share-based compensation expense | $ 6.1 | $ 8.1 | $ 21 | $ 22.9 |
Consideration received from share-based awards | $ 7.2 | $ 65.8 |
Acquisitions (Details)
Acquisitions (Details) € in Millions, $ in Millions | Sep. 03, 2015USD ($) | Sep. 03, 2015EUR (€) | Sep. 30, 2016USD ($) | Sep. 30, 2015USD ($) |
Business Acquisition [Line Items] | ||||
Total cash consideration paid for acquisitions, net of cash acquired | $ 56.9 | $ 240.7 | ||
7S Group GmbH | ||||
Business Acquisition [Line Items] | ||||
Total cash consideration paid for acquisitions, net of cash acquired | $ 140.4 | € 125.3 |
Restructuring Costs (Details)
Restructuring Costs (Details) | 9 Months Ended |
Sep. 30, 2016USD ($) | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | $ 16,400,000 |
Costs paid or utilized | (8,500,000) |
Balance, end of period | 7,900,000 |
Corporate | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 200,000 |
Costs paid or utilized | (100,000) |
Balance, end of period | 100,000 |
Reportable segments | Americas | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 3,500,000 |
Costs paid or utilized | (2,100,000) |
Balance, end of period | 1,400,000 |
Reportable segments | Americas | United States | Reportable subsegments | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 2,900,000 |
Balance, end of period | 900,000 |
Reportable segments | Southern Europe | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 1,700,000 |
Costs paid or utilized | (100,000) |
Balance, end of period | 1,600,000 |
Reportable segments | Southern Europe | France | Reportable subsegments | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 1,500,000 |
Balance, end of period | 1,600,000 |
Reportable segments | Southern Europe | Italy | Reportable subsegments | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 0 |
Balance, end of period | 0 |
Reportable segments | Northern Europe | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 8,500,000 |
Costs paid or utilized | (4,700,000) |
Balance, end of period | 3,800,000 |
Reportable segments | APME | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 1,700,000 |
Costs paid or utilized | (1,200,000) |
Balance, end of period | 500,000 |
Reportable segments | Right Management | |
Restructuring reserve [Roll Forward] | |
Balance, beginning of period | 800,000 |
Costs paid or utilized | (300,000) |
Balance, end of period | $ 500,000 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax [Line Items] | ||||||
Effective income tax rate (as percent) | 35.30% | 37.10% | 37.30% | 38.60% | ||
U.S. Federal statutory rate (as percent) | 35.00% | 35.00% | ||||
Gross unrecognized tax benefits, including interest and penalties | $ 44.6 | $ 44.6 | $ 38.9 | |||
Offsetting tax benefits | 1 | 1 | 1 | |||
Net unrecognized tax benefits | $ 43.6 | $ 43.6 | $ 37.9 | |||
Scenario, Forecast | ||||||
Income Tax [Line Items] | ||||||
Expected annual effective income tax rate (as percent) | 37.00% |
Net Earnings Per Share (Details
Net Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||||
Net earnings available to common shareholders | $ 129.2 | $ 123.9 | $ 316.3 | $ 295.3 |
Weighted-average common shares outstanding (in millions) | ||||
Weighted-average common shares outstanding - basic (in shares) | 68.4 | 76.1 | 70.9 | 77.7 |
Weighted-average common shares outstanding - diluted (in shares) | 69 | 77 | 71.6 | 78.7 |
Net earnings per share - basic (in dollars per share) | $ 1.89 | $ 1.63 | $ 4.46 | $ 3.80 |
Net earnings per share - diluted (in dollars per share) | $ 1.87 | $ 1.61 | $ 4.42 | $ 3.75 |
Share-Based Awards | ||||
Weighted-average common shares outstanding (in millions) | ||||
Antidilutive securities excluded from the calculation of net earnings per share - diluted (in shares) | 0.7 | 0.2 | 0.7 | 0.3 |
Stock Options | ||||
Weighted-average common shares outstanding (in millions) | ||||
Effect of dilutive securities | 0.2 | 0.4 | 0.2 | 0.5 |
Non-Stock Option Awards | ||||
Weighted-average common shares outstanding (in millions) | ||||
Effect of dilutive securities | 0.4 | 0.5 | 0.5 | 0.5 |
Goodwill and Other Intangible38
Goodwill and Other Intangible Assets - Goodwill and Intangible Assets (Details) - USD ($) $ in Millions | Sep. 30, 2016 | Dec. 31, 2015 |
Indefinite-lived Intangible Assets by Major Class [Line Items] | ||
Goodwill | $ 1,284.1 | $ 1,257.4 |
Accumulated impairment loss | 513.4 | 513.4 |
Finite-lived: | ||
Gross | 452.9 | 442.5 |
Accumulated Amortization | 294.6 | 266.6 |
Net | 158.3 | 175.9 |
Indefinite-lived: | ||
Indefinite-lived intangible assets (excluding goodwill) | 150.8 | 150.6 |
Total intangible assets | ||
Gross | 603.7 | 593.1 |
Accumulated Amortization | 294.6 | 266.6 |
Net | 309.1 | 326.5 |
Intangible Assets, Future Amortization Expense by Fiscal Year [Abstract] | ||
Estimated amortization expense, remainder of 2016 | 9.6 | |
Estimated amortization expense, 2017 | 33.6 | |
Estimated amortization expense, 2018 | 30.7 | |
Estimated amortization expense, 2019 | 26.6 | |
Estimated amortization expense, 2020 | 21.5 | |
Estimated amortization expense, 2021 | 11 | |
Tradenames | ||
Indefinite-lived: | ||
Indefinite-lived intangible assets (excluding goodwill) | 52 | 54 |
Accumulated impairment loss | 139.5 | 139.5 |
Reacquired franchise rights | ||
Indefinite-lived: | ||
Indefinite-lived intangible assets (excluding goodwill) | 98.8 | 96.6 |
Customer relationships | ||
Finite-lived: | ||
Gross | 434.6 | 425.6 |
Accumulated Amortization | 283.1 | 256.7 |
Net | 151.5 | 168.9 |
Other | ||
Finite-lived: | ||
Gross | 18.3 | 16.9 |
Accumulated Amortization | 11.5 | 9.9 |
Net | $ 6.8 | $ 7 |
Goodwill and Other Intangible39
Goodwill and Other Intangible Assets - Changes in Goodwill by Reportable Segment (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2016USD ($) | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | $ 1,257.4 |
Goodwill acquired | 23.9 |
Currency and other impacts | 2.8 |
Balance, September 30, 2016 | 1,284.1 |
Right Management | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 62.1 |
Balance, September 30, 2016 | 62.1 |
Reportable segments | Americas | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 515.7 |
Goodwill acquired | 0 |
Currency and other impacts | 1.7 |
Balance, September 30, 2016 | 517.4 |
Reportable segments | Americas | United States | Reportable subsegments | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 476.9 |
Balance, September 30, 2016 | 476.5 |
Reportable segments | Southern Europe | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 97.2 |
Goodwill acquired | 0 |
Currency and other impacts | 6.1 |
Balance, September 30, 2016 | 103.3 |
Reportable segments | Southern Europe | France | Reportable subsegments | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 69 |
Balance, September 30, 2016 | 71.4 |
Reportable segments | Southern Europe | Italy | Reportable subsegments | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 4.5 |
Balance, September 30, 2016 | 4.7 |
Reportable segments | Northern Europe | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 441.9 |
Goodwill acquired | 21.5 |
Currency and other impacts | (10.8) |
Balance, September 30, 2016 | 452.6 |
Reportable segments | APME | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 75.6 |
Goodwill acquired | 1.8 |
Currency and other impacts | 5.8 |
Balance, September 30, 2016 | 83.2 |
Reportable segments | Right Management | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 62.1 |
Goodwill acquired | 0 |
Currency and other impacts | 0 |
Balance, September 30, 2016 | 62.1 |
Corporate | |
Goodwill [Roll Forward] | |
Balance, January 1, 2016 | 64.9 |
Goodwill acquired | 0.6 |
Currency and other impacts | 0 |
Balance, September 30, 2016 | 65.5 |
Corporate | Jefferson Wells | |
Goodwill [Roll Forward] | |
Balance, September 30, 2016 | $ 55.5 |
Goodwill and Other Intangible40
Goodwill and Other Intangible Assets - Goodwill by Reporting Unit (Details) - USD ($) $ in Millions | Sep. 30, 2016 | Dec. 31, 2015 |
Goodwill [Line Items] | ||
Goodwill | $ 1,284.1 | $ 1,257.4 |
United States | ||
Goodwill [Line Items] | ||
Goodwill | 532 | 532.4 |
Germany | ||
Goodwill [Line Items] | ||
Goodwill | 130.7 | 127.1 |
Netherlands | ||
Goodwill [Line Items] | ||
Goodwill | 118.4 | 98.7 |
United Kingdom | ||
Goodwill [Line Items] | ||
Goodwill | 89.6 | 101.1 |
France | ||
Goodwill [Line Items] | ||
Goodwill | 71.4 | 69 |
Right Management | ||
Goodwill [Line Items] | ||
Goodwill | 62.1 | 62.1 |
Other reporting units | ||
Goodwill [Line Items] | ||
Goodwill | $ 279.9 | $ 267 |
Retirement Plans (Details)
Retirement Plans (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Defined Benefit Pension Plans | ||||
Defined Benefit Plans, Net Periodic Benefit Cost [Abstract] | ||||
Service cost | $ 1.3 | $ 1.8 | $ 4.7 | $ 5.3 |
Interest cost | 2.8 | 2.7 | 8.8 | 8.1 |
Expected return on assets | (2.8) | (2.8) | (8.7) | (8.4) |
Curtailment and settlement gain | (6.8) | 0 | (6.8) | 0 |
Other | 0.4 | 1.1 | 1 | 3.3 |
Total benefit (credit) cost | (5.1) | 2.8 | (1) | 8.3 |
Contributions to pension plans | 2.2 | 4.4 | ||
Estimated employer contribution to pension plans during current fiscal year | 5 | |||
Retiree Health Care Plan | ||||
Defined Benefit Plans, Net Periodic Benefit Cost [Abstract] | ||||
Interest cost | 0.1 | 0.2 | 0.5 | 0.5 |
Net loss | 0 | 0.4 | 0 | 0.1 |
Prior service credit | (0.2) | (0.6) | (0.6) | (0.6) |
Total benefit (credit) cost | (0.1) | $ 0 | (0.1) | $ 0 |
Contributions to retiree health care plan | $ 0.3 | $ 0.8 |
Shareholders' Equity - Compone
Shareholders' Equity - Components of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | Sep. 30, 2016 | Dec. 31, 2015 |
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive loss | $ (324.7) | $ (286) |
Translation gain (loss) on net investment hedge, tax | (6) | 2.8 |
Accumulated other comprehensive income, unrealized holding gain (loss) on securities arising during period, tax | 4.1 | 3.8 |
Accumulated other comprehensive income (loss) resulting from foreign currency translation adjustments | ||
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive loss | (175.5) | (209.2) |
Foreign currency transactions designated and effective as economic hedges of a net investment in a foreign entity | ||
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive loss | (5.7) | 10 |
Intra-entity foreign currency transactions that are of a long-term-investment nature | ||
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive loss | (129.8) | (75.5) |
Accumulated Net Investment Gain (Loss) Attributable to Parent | ||
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive loss | 18.1 | 17 |
Pension Plan | ||
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive income, defined benefit plans, tax | (23.4) | (22.3) |
Pension Plan | Accumulated Defined Benefit Plans Adjustment Attributable to Parent | ||
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive loss | (35.8) | (32.6) |
Other Postretirement Benefit Plan | ||
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive income, defined benefit plans, tax | 2.2 | 2.4 |
Other Postretirement Benefit Plan | Accumulated Defined Benefit Plans Adjustment Attributable to Parent | ||
Components of Accumulated Other Comprehensive Income [Abstract] | ||
Accumulated other comprehensive loss | $ 4 | $ 4.3 |
Shareholders' Equity - Noncont
Shareholders' Equity - Noncontrolling Interests (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Equity [Abstract] | ||||
Net earnings attributable to noncontrolling interests | $ 2.8 | $ 1.9 | $ 6.5 | $ 3.5 |
Shareholders' Equity - Dividen
Shareholders' Equity - Dividends (Details) - $ / shares | Nov. 02, 2016 | Jun. 15, 2016 | May 03, 2016 | Dec. 15, 2015 | Oct. 29, 2015 | Jun. 15, 2015 | Apr. 28, 2015 |
Dividends [Abstract] | |||||||
Dividends declared (in dollars per share) | $ 0.86 | $ 0.80 | $ 0.80 | ||||
Dividends paid (in dollars per share) | $ 0.86 | $ 0.80 | $ 0.80 | ||||
Subsequent Event | |||||||
Dividends [Abstract] | |||||||
Dividends declared (in dollars per share) | $ 0.86 |
Shareholders' Equity - Share R
Shareholders' Equity - Share Repurchases (Details) - USD ($) $ in Millions | 9 Months Ended | ||||
Sep. 30, 2016 | Sep. 30, 2015 | Jul. 28, 2016 | Oct. 29, 2015 | Dec. 12, 2012 | |
Equity, Class of Treasury Stock [Line Items] | |||||
Stock repurchased during period (in shares) | 6,400,000 | ||||
Repurchases of common stock | $ 462.6 | $ 523.2 | |||
Common Stock Repurchase 2015 Authorization | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Number of shares authorized to be repurchased (in shares) | 6,000,000 | ||||
Stock repurchased during period (in shares) | 5,300,000 | ||||
Remaining authorized repurchase amount (shares) | 0 | ||||
Common Stock Repurchase 2012 Authorization | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Number of shares authorized to be repurchased (in shares) | 8,000,000 | ||||
Stock repurchased during period (in shares) | 6,000,000 | ||||
Remaining authorized repurchase amount (shares) | 0 | ||||
Common Stock Repurchase 2016 Authorization | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Number of shares authorized to be repurchased (in shares) | 6,000,000 | ||||
Stock repurchased during period (in shares) | 1,100,000 | ||||
Remaining authorized repurchase amount (shares) | 5,000,000 |
Interest and Other Expenses (De
Interest and Other Expenses (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Other Nonoperating Income (Expense) [Abstract] | ||||
Interest expense | $ 9.2 | $ 9.2 | $ 27.9 | $ 25.4 |
Interest income | (1) | (0.7) | (2.5) | (1.9) |
Foreign exchange (gain) loss | 0 | (0.2) | 1.6 | 0.5 |
Miscellaneous expenses, net | 3.2 | 1.1 | 7.4 | 3.2 |
Interest and other expenses | $ 11.4 | $ 9.4 | $ 34.4 | $ 27.2 |
Derivative Financial Instrume47
Derivative Financial Instruments and Fair Value Measurements (Details) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2016USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2016USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2016EUR (€) | Dec. 31, 2015USD ($) | |
Recurring basis | ||||||
Assets | ||||||
Deferred compensation plan assets | $ 85.9 | $ 85.9 | $ 84.1 | |||
Foreign currency forward contracts | 0.1 | |||||
Total assets | 85.9 | 85.9 | 84.2 | |||
Liabilities | ||||||
Foreign currency forward contracts | 0.1 | 0.1 | 0.5 | |||
Total liabilities | 0.1 | 0.1 | 0.5 | |||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||||
Assets | ||||||
Deferred compensation plan assets | 85.9 | 85.9 | 84.1 | |||
Foreign currency forward contracts | 0 | |||||
Total assets | 85.9 | 85.9 | 84.1 | |||
Liabilities | ||||||
Foreign currency forward contracts | 0 | 0 | 0 | |||
Total liabilities | 0 | 0 | 0 | |||
Recurring basis | Significant Other Observable Inputs (Level 2) | ||||||
Assets | ||||||
Deferred compensation plan assets | 0 | 0 | 0 | |||
Foreign currency forward contracts | 0.1 | |||||
Total assets | 0 | 0 | 0.1 | |||
Liabilities | ||||||
Foreign currency forward contracts | 0.1 | 0.1 | 0.5 | |||
Total liabilities | 0.1 | 0.1 | 0.5 | |||
Recurring basis | Significant Unobservable Inputs (Level 3) | ||||||
Assets | ||||||
Deferred compensation plan assets | 0 | 0 | 0 | |||
Foreign currency forward contracts | 0 | |||||
Total assets | 0 | 0 | 0 | |||
Liabilities | ||||||
Foreign currency forward contracts | 0 | 0 | 0 | |||
Total liabilities | 0 | 0 | 0 | |||
Euro-denominated notes | ||||||
Net investment hedges [Abstract] | ||||||
Translation gain (loss) on net investment hedge | (1.5) | (1.5) | 14.1 | |||
Forward contracts | Designated as hedging instrument | ||||||
Net investment hedges [Abstract] | ||||||
Translation gain (loss) on net investment hedge | (4.2) | (4.2) | (4.1) | |||
Forward contracts | Not designated as hedging instrument | ||||||
Net investment hedges [Abstract] | ||||||
Loss associated with forward contracts included in interest and other expenses | 0.1 | $ 0.9 | 1.4 | |||
Gain associated with forward contracts included in interest and other expenses | $ 0.9 | |||||
Fair value | Euro-denominated notes | Significant Other Observable Inputs (Level 2) | ||||||
Liabilities | ||||||
Carrying value of long-term debt | 898.5 | 898.5 | 858.2 | |||
Carrying value | Euro-denominated notes | ||||||
Liabilities | ||||||
Carrying value of long-term debt | 838.9 | 838.9 | $ 810.2 | |||
Notes due September 2022 | Euro-denominated notes | Designated as hedging instrument | ||||||
Net investment hedges [Abstract] | ||||||
Long-term debt | 446.3 | 446.3 | € 400,000,000 | |||
Notes due June 2018 | Euro-denominated notes | Designated as hedging instrument | ||||||
Net investment hedges [Abstract] | ||||||
Long-term debt | $ 392.6 | $ 392.6 | € 350,000,000 |
Segment Data (Details)
Segment Data (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Segment Reporting Information [Line Items] | ||||
Revenues from services | $ 5,088.2 | $ 4,972.5 | $ 14,698 | $ 14,376 |
Operating unit profit | 244 | 243.3 | 642 | 615.4 |
Operating profit | 211.1 | 206.3 | 538.8 | 507.8 |
Interest and other expenses | (11.4) | (9.4) | (34.4) | (27.2) |
Earnings before income taxes | 199.7 | 196.9 | 504.4 | 480.6 |
Franchise fees | 6.3 | 6.6 | 17.2 | 18.1 |
Franchise revenue | 273.1 | 286.4 | 762.1 | 812.6 |
Reportable segments | Americas | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 1,107.4 | 1,136.6 | 3,234.3 | 3,351.7 |
Operating unit profit | 55 | 58.7 | 143.2 | 145.1 |
Reportable segments | Americas | United States | Reportable subsegments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 723.7 | 769.6 | 2,152.1 | 2,257.3 |
Operating unit profit | 41 | 45.5 | 103.8 | 104.6 |
Franchise fees | 4.1 | 4.2 | 11.1 | 11.5 |
Franchise revenue | 179.8 | 186.3 | 511.5 | 539.6 |
Reportable segments | Americas | Other Americas | Reportable subsegments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 383.7 | 367 | 1,082.2 | 1,094.4 |
Operating unit profit | 14 | 13.2 | 39.4 | 40.5 |
Reportable segments | Southern Europe | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 1,966.3 | 1,931.3 | 5,585.4 | 5,444 |
Operating unit profit | 101 | 105.5 | 275 | 272.5 |
Reportable segments | Southern Europe | France | Reportable subsegments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 1,277.8 | 1,242.5 | 3,608.8 | 3,485.9 |
Operating unit profit | 68.9 | 74.9 | 183.6 | 192.1 |
Reportable segments | Southern Europe | Italy | Reportable subsegments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 299 | 324.4 | 861.9 | 913.8 |
Operating unit profit | 18.4 | 17.5 | 57.3 | 51.3 |
Reportable segments | Southern Europe | Other Southern Europe | Reportable subsegments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 389.5 | 364.4 | 1,114.7 | 1,044.3 |
Operating unit profit | 13.7 | 13.1 | 34.1 | 29.1 |
Reportable segments | Northern Europe | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 1,300.1 | 1,267.5 | 3,836.3 | 3,717 |
Operating unit profit | 53.9 | 44.5 | 124.2 | 108.6 |
Reportable segments | APME | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 650.9 | 570.2 | 1,841.7 | 1,659.9 |
Operating unit profit | 25.3 | 23.9 | 66.8 | 61.2 |
Reportable segments | Right Management | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from services | 63.5 | 66.9 | 200.3 | 203.4 |
Operating unit profit | 8.8 | 10.7 | 32.8 | 28 |
Segment Reconciling Items | ||||
Segment Reporting Information [Line Items] | ||||
Corporate expenses | (23.9) | (28.9) | (76.2) | (84.5) |
Intangible asset amortization expense | $ (9) | $ (8.1) | $ (27) | $ (23.1) |