2009 Press Releases

WORKSTREAM provides 3 rd QUARTER BUSINESS UPDATE

Maitland, Florida- March 16, 2009 - Workstream Inc. (NASDAQ: WSTM), a leading provider of on-demand compensation, performance and talent management solutions, today announced preliminary results that it expects to report in the third quarter of F2009:

• EBITDA of approximately $1.5 million
• Net income of approximately $780,000
• Revenues of approximately $5.6 million
• Increase of cash on hand of 60% quarter over quarter
• Reduction in current liabilities of approximately $2.6 million quarter over quarter
• Free cash flow of approximately $500,000
• Positive shareholder equity improvement of $1.0 million quarter over quarter
• Wells Fargo and Workstream signed an agreement for its Compensation product which:
• increased of the number of lives on Workstream’s compensation software from 160,000 to 280,000 to include employees from their recent Wachovia acquisition
• agreed to an expansion agreement for 3 years

The above amounts are subject to the completion of the Company’s annual audit and final review by the company auditors, additional information will be available in the company’s 10Q which the company anticipates filing prior to April 14th, 2009.

EBITDA is commonly defined as earnings before interest, taxes, depreciation and amortization. We believe that EBITDA provides useful information to investors as it excludes transactions not related to the core cash operating business activities. We believe that excluding these transactions allows investors to meaningfully trend and analyze the performance of our core cash operations. All companies do not calculate EBITDA in the same manner, and EBITDA as presented by Workstream may not be comparable to EBITDA presented by other companies. Workstream defines EBITDA as earnings or loss before interest, taxes, depreciation amortization, non-cash equity compensation, merger related costs and non-recurring goodwill impairment, if applicable.

About Workstream Inc.

Workstream provides on-demand compensation; performance and talent management solutions and services that help companies manage the entire employee lifecycle - from recruitment to retirement. Workstream’s TalentCenter provides a unified view of all Workstream products and services including Recruitment, Performance, Compensation, Development and Transition. Access to TalentCenter is offered on a monthly subscription basis under an on-demand software delivery model to help companies build high performing workforces, while controlling costs. With offices across North America, Workstream services customers including Chevron, Kaiser Permanente and Wells Fargo. For more information visit www.workstreaminc.com or contact Leann Hitchcock, Corporate Compliance Officer at: 407-475-5500.

Cautionary Note Regarding Forward Looking Statements

Workstream has made in this release, and from time to time may otherwise make, “forward-looking statements” (as that term is defined under federal securities laws) concerning future events and expectations, and future operations, performance, profitability, revenues, expenses, earnings and financial condition. This release includes, in particular, forward-looking statements regarding expectations of the occurrence of future events and other matters. Such forward-looking statements are subject to various risks and uncertainties. Actual events or results could differ materially from those currently anticipated due to a number of factors, both known and unknown. Workstream assumes no obligation to update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

Investor Relations:
Workstream Inc.
Leann Hitchcock, 407-475-5500
leann.hitchcock@workstreaminc.com