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Segment Disclosures
9 Months Ended
Sep. 27, 2020
Segment Reporting [Abstract]  
Segment Disclosures Segment Disclosures
Beginning in the third quarter of 2020, the Company adopted a new operating model reflecting the Company's focus on delivering specialty talent solutions. The Company’s new operating segments, which also represent its reporting segments, are based on the organizational structure for which financial results are regularly evaluated by the Company’s chief operating decision-maker ("CODM", the Company’s CEO) to determine resource allocation and assess performance. The Company’s five reportable segments, (1) Professional & Industrial, (2) Science, Engineering & Technology, (3) Education, (4) Outsourcing & Consulting, and (5) International, reflect the specialty services the Company provides to customers and represent how the business is organized internally. Intersegment revenue represents revenue earned between the reportable segments and is eliminated from total segment revenue from services.
Professional & Industrial specializes in delivering professional and industrial talent to customers including staffing, KellyConnect, and outcome-based solutions in the Americas region. Science, Engineering & Technology delivers both staffing and outcome-based solutions in the specialty areas of science, technology, telecom and engineering primarily in the U.S. and Canada. Education primarily specializes in K-12 substitute teachers and support staff, as well as some early childhood and higher education support, in the Americas region. Outsourcing & Consulting is focused on providing RPO, MSP and PPO solutions in the Americas, Europe and Asia-Pacific regions. International provides talent to customers across all specialties primarily through staffing services within Europe as well as Brazil and Mexico in the Americas region. Our Brazil operations were sold in August 2020 (see Acquisitions and Disposition footnote).
Corporate expenses that directly support the operating units have been allocated to Professional & Industrial, Science, Engineering & Technology, Education, Outsourcing & Consulting, and International based on work effort, volume or, in the absence of a readily available measurement process, proportionately based on gross profit realized. Unallocated corporate expenses include those related to incentive compensation, law and risk management, certain finance and accounting functions, executive management, corporate campus facilities, IT production support, certain legal costs and expenses related to corporate initiatives that do not directly benefit a specific operating segment. Consistent with the information provided to and evaluated by the CODM, the goodwill impairment charge in the first quarter of 2020 is included in Corporate expenses.
The following tables present information about the reported revenue from services and gross profit of the Company by segment, along with a reconciliation to earnings (loss) before taxes and equity in net earnings (loss) of affiliate, for the third quarter and September year to date 2020 and 2019 based on the new operating model. Prior year reportable segment results were recast to align with the current presentation. 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 QuarterSeptember Year to Date
 2020201920202019
 (In millions of dollars)
Revenue from Services:  
Professional & Industrial$446.5 $538.0 $1,346.7 $1,668.7 
Science, Engineering & Technology244.0 285.2 761.5 859.7 
Education27.5 57.1 195.1 313.9 
Outsourcing & Consulting87.9 94.4 261.0 282.3 
International232.4 293.4 710.6 893.6 
Less: Intersegment revenue(0.1)(0.4)(0.3)(0.4)
Consolidated Total$1,038.2 $1,267.7 $3,274.6 $4,017.8 
 Third QuarterSeptember Year to Date
 2020201920202019
 (In millions of dollars)
Earnings (loss) from Operations:  
Professional & Industrial gross profit$77.1 $91.8 $241.1 $291.6 
Professional & Industrial SG&A expenses(65.3)(77.6)(210.4)(246.9)
Professional & Industrial earnings (loss) from operations11.8 14.2 30.7 44.7 
Science, Engineering & Technology gross profit50.7 58.3 156.0 171.8 
Science, Engineering & Technology SG&A expenses(31.3)(36.0)(99.1)(111.4)
Science, Engineering & Technology earnings (loss) from operations19.4 22.3 56.9 60.4 
Education gross profit4.1 8.6 28.8 49.9 
Education SG&A expenses(11.6)(13.8)(37.7)(41.5)
Education earnings (loss) from operations(7.5)(5.2)(8.9)8.4 
Outsourcing & Consulting gross profit29.1 29.5 87.1 90.7 
Outsourcing & Consulting SG&A expenses(25.4)(29.1)(79.1)(90.9)
Outsourcing & Consulting earnings (loss) from operations3.7 0.4 8.0 (0.2)
International gross profit30.0 39.5 90.5 119.3 
International SG&A expenses(39.9)(35.3)(101.4)(107.2)
International earnings (loss) from operations(9.9)4.2 (10.9)12.1 
Less: Intersegment gross profit— — — — 
Less: Intersegment SG&A expenses— — — — 
Net Intersegment activity— — — — 
Corporate(19.9)(18.8)(178.9)(56.7)
Consolidated Total(2.4)17.1 (103.1)68.7 
Gain (loss) on investment in Persol Holdings16.8 (39.3)(31.4)35.1 
Other income (expense), net(0.7)(0.2)3.6 (1.1)
Earnings (loss) before taxes and equity in net earnings (loss) of affiliate$13.7 $(22.4)$(130.9)$102.7