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|   | “(a) | If      Company or a successor corporation terminates Executive’s employment for      any reason other than Cause (as defined below) or if Executive resigns for      Good Reason (as defined below) then Company or the successor corporation      will (1) pay prorated bonuses for any partially completed bonus periods      through Executives termination date (at an assumed 100% on-target      achievement of goal), less Withholding, (2) pay a lump sum equal to six      (6) months of Executive’s Base Salary at the rate in effect at the time of      Executive’s resignation or termination of employment, less Withholding,      and (3) if Executive elects to continue Executive’s health insurance      coverage under the Consolidated Omnibus Budget Reconciliation Act      (“COBRA”) following such termination or resignation of Executive’s      employment, pay the same portion of Executive’s monthly premium under      COBRA as it pays for active employees until the earliest of (i) the      close of the 6 month period following the termination of Executive’s      employment, (ii) the expiration of Executive’s continuation coverage      under COBRA, or (iii) the date when Executive becomes eligible for      substantially equivalent health insurance coverage in connection with new      employment or self-employment. |
|--------|------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | If      Company or a successor corporation terminates Executive’s employment for      any reason other than Cause (as defined below) or if Executive resigns for      Good Reason (as defined below) and either such event takes place within      one year following a Change in Control (as defined below), then Company or      the successor corporation will (1) pay prorated bonuses for any partially      completed bonus periods through Executives termination date (at an assumed      100% on-target achievement of goal), less Withholding, (2) pay a lump sum      equal to twelve (12) months of Executive’s Base Salary at the rate in      effect at the time of Executive’s resignation or termination of      employment, less Withholding, (3) pay bonuses (at an assumed 100%      on-target achievement of goal) at the rate in effect at the time of      Executive’s resignation or termination of employment for a period of 12      months from the date of Executive’s resignation or termination of      employment (bonuses will be prorated for any partially completed bonus      periods through the 12 month period from the date of Executive’s      resignation or termination of employment), less Withholding, and (4) if      Executive elects to continue Executive’s health insurance coverage under      the Consolidated Omnibus Budget Reconciliation Act (“COBRA”) following      such termination or resignation of Executive’s employment, pay the same      portion of Executive’s monthly premium under COBRA as it pays for active      employees until the earliest of (i) the close of the 12 month period      following the termination of Executive’s employment, (ii) the      expiration of Executive’s continuation coverage under COBRA, or      (iii) the date when Executive becomes eligible for substantially      equivalent health insurance coverage in connection with new employment or      self-employment. |
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|   | (c) | All      benefits set forth in Sections 6(a) and 6(b) are collectively referred to      as “Severance.”  Subject to Section 7(a) and to any required six      (6) month delay pursuant to Section 13, Severance payments, other than      reimbursements of COBRA premiums, shall be made by Company in one lump sum      and shall be paid within thirty (30) days of any such termination of      employment.” |
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|   | “(a) | Separation Agreement      and Release of Claims.  The receipt of any severance      pursuant to this Agreement will be subject to Executive signing and not      revoking a separation agreement and release of claims (the “Release”) in a      form reasonably acceptable to the Company which becomes effective within      sixty (60) days following Executive’s employment termination date or such      earlier date as required by the Release (such deadline, the “Release      Deadline”).  The Release will provide (among other things) that      Executive will not disparage the Company, its directors, or its executive      officers, and will contain No-Inducement, No-Solicit and Non-Compete terms      consistent with this Agreement.  No severance pursuant to this      Agreement will be paid or provided until the Release becomes      effective.  Notwithstanding any timing of payment provision in      Section 6, in the event severance payments provided under Section      6(a) or Section 6(b) would be considered Deferred Payments (as      defined in Section 13 below), then the following timing of payments will      apply to such Deferred Payments, in each case subject to any delay in      payment required by the provisions of Section 13 (and provided the Release      becomes effective): |
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|   | (i) | If      the Release Deadline is on or before December 10 of the calendar year in      which Executive’s “separation from service” (within the meaning of      Section 409A of the Internal Revenue Code of 1986, as amended,      and any final regulations and official guidance promulgated thereunder      (together, “Section 409A”)) occurs, any portion of the severance      payments or benefits provided under Section 6(a) or Section 6(b) that      would be considered Deferred Payments will be paid to Executive on or      before December 31 of that calendar year or such later time as required by      (A) the payment schedule applicable to each payment or benefit as set      forth in Section 6, or (B) if applicable, Section 13 of this      Agreement; and |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | If      the Release Deadline is after December 10 of the calendar year in which      Executive’s “separation from service” (within the meaning of      Section 409A) occurs, any portion of the severance payments or      benefits provided under Section 6(a) or Section 6(b) that would      be considered Deferred Payments will be paid on the first payroll date to      occur during the calendar year following the calendar year in which such      separation of service occurs or such later time as required by      (A) the payment schedule applicable to each payment or benefit as set      forth in Section 6, (B) the Release Deadline, or (C) if      applicable, Section 13 of thisAgreement.” |
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|   | (a) | Notwithstanding      anything to the contrary in this Agreement, no severance payments or      benefits payable to Executive, if any, pursuant to this Agreement that,      when considered together with any other severance payments or separation      benefits, is considered deferred compensation under Section 409A      (together, the “Deferred Payments”) will be payable until Executive has a      “separation from service” within the meaning of Section      409A.  Similarly, no severance payable to Executive, if any,      pursuant to this Agreement that otherwise would be exempt from Section      409A pursuant to Treasury Regulation Section 1.409A-1(b)(9) will be      payable until Executive has a “separation from service” within the meaning      of Section 409A. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (b) | Further,      if Executive is a “specified employee” within the meaning of      Section 409A at the time of Executive’s separation from service      (other than due to death), any Deferred Payments that otherwise are      payable within the first six (6) months following Executive’s separation      from service will become payable on the first payroll date that occurs on      or after the date six (6) months and one (1) day following the date of      Executive’s separation from service.  All subsequent Deferred      Payments, if any, will be payable in accordance with the payment schedule      applicable to each payment or benefit.  Notwithstanding anything      herein to the contrary, in the event of Executive’s death following      Executive’s separation from service but prior to the six (6) month      anniversary of Executive’s separation from service (or any later delay      date), then any payments delayed in accordance with this paragraph will be      payable in a lump sum as soon as administratively practicable after the      date of Executive’s death and all other Deferred Payments will be payable      in accordance with the payment schedule applicable to each payment or      benefit.  Each payment and benefit payable under the Agreement      is intended to constitute a separate payment for purposes of Section      1.409A-2(b)(2) of the TreasuryRegulations. |
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|   | (c) | Any      severance payment that satisfies the requirements of the “short-term      deferral” rule set forth in Section 1.409A-1(b)(4) of the Treasury      Regulations shall not constitute Deferred Payments for purposes of the      Agreement.  Any severance payment that qualifies as a payment      made as a result of an involuntary separation from service pursuant to      Section 1.409A-1(b)(9)(iii) of the Treasury Regulations that does not      exceed the Section 409A Limit shall not constitute Deferred Payments for      purposes of the Agreement.  For purposes of this subsection (c),      “Section 409A Limit” will mean the lesser of two (2) times: (i)      Executive’s annualized compensation based upon the annual rate of pay paid      to Executive during the Company’s taxable year preceding the Company’s      taxable year of Executive’s separation from service as determined      under Treasury Regulation Section 1.409A-1(b)(9)(iii)(A)(1) and any      Internal Revenue Service guidance issued with respect thereto; or (ii) the      maximum amount that may be taken into account under a qualified plan      pursuant to Section 401(a)(17) of the Code for the year in which      Executive’s employment isterminated. |
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|   | (d) | The      foregoing provisions are intended to comply with the requirements of      Section 409A so that none of the severance payments and benefits to be      provided under the Agreement will be subject to the additional tax imposed      under Section 409A, and any ambiguities herein will be interpreted to so      comply.  Executive and the Company agree to work together in      good faith to consider amendments to the Agreement and to take such      reasonable actions which are necessary, appropriate or desirable to avoid      imposition of any additional tax or income recognition prior to actual      payment to Executive under Section409A.” |
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| Relocation      Reimbursement Item                                                                                                                                   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  Visa      Costs: 3 Year L-1 Visa                                                                                                                               |
|  Rent      Payment: up to $7,000 per month  for up to 2    years                                                                                      |
|  Air      fare for travel between Europe and the San Francisco Bay area for family      members for two years: up to $26,000 USD per year.                      |
|  Moving      house hold goods to USA: up to $10,000Moving      house hold goods back to UK (“Return Reimbursements”): all reasonable      expenses* |
|  Storage      up to 3 months: up to $5,000                                                                                                                      |
|  Home      search trip for family of 2. Air fare from Europe to San Francisco Bay      area: up to $12,000 USD.                                                 |
|  Relocation      to US for family of 2. Air fare from Europe to the San Francisco Bay area:      up to $6,000 USD.                                              |
|  Miscellaneous      relocation expenses: $7,000                                                                                                                 |
|  Corporate      housing for up to 3 months: up to $3,500 per  month                                                                                             |

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| NEIL      HUDSPITH |   | TALEO      CORPORATION |   |
|--------------------|--------|------------------------|--------|
|               |   |                   |   |
|               |   |                   |   |
| /s/ Neil Hudspith  |   | /s/ Josh Faddis        |   |
| Signature          |   | Signature              |   |
|               |   |                   |   |
| Neil Hudspith      |   | Josh Faddis            |   |
| Print      Name    |   | Print      Name        |   |
|               |   |                   |   |
|               |   | VP, Legal              |   |
|               |   | Print      Title       |   |

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