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                                 EMPLOYMENT AGREEMENT


    This Agreement dated as of April 15, 1996 by and between HA-LO INDUSTRIES,
INC., an Illinois corporation (hereinafter the "Company"), and MICHAEL NEMLICH,
(hereinafter referred to as the "Executive").

                                 W I T N E S S E T H

    WHEREAS, the Company and the Executive desire to enter into this Agreement,
whereby the Company will be assured of the right to the Executive's services,
skills and expertise for the period and on the terms and conditions hereinafter
set forth, and the Executive will be assured of employment on such terms and
conditions.


    1.   EMPLOYMENT.  Subject to the terms and conditions hereinafter set
         forth, the Company hereby employs the Executive as Vice President
         Corporate Development and Financial Relations, of the Company and the
         Executive hereby accepts such employment.

    2.   TERM. Subject to earlier termination in accordance with the provisions
         of Section 6 of this Agreement, the term of the employment of the
         Executive by the Company pursuant to this Agreement (the "Term") shall
         be for a period of one (1) year, commencing on the date of closing
         under this Agreement provided however, that the Term shall be
         automatically extended, unless either party elects not to do so and
         gives written notice to the other party at least ninety (90) days
         prior to such scheduled termination date of their election not to so
         extend.

    3.   EMPLOYMENT SERVICES.  During the Term of his employment pursuant to
         this Agreement, the Executive shall render his services to the Company
         as Vice President Corporate Development and Financial Relations, of
         the Company, or in such other capacities as the President or Board of
         Directors of the Company may, from time to time, reasonably designate.
         The Executive shall report to the Chief Financial Officer of the
         Company in the performance of his duties hereunder.  The Executive
         shall devote all of his business time, efforts and his energy and
         skill to the business of the company and, the Executive will not
         engage in the active operation of any other business.

    4.   COMPENSATION.  In consideration of the services to be rendered by the
         Executive to the Company pursuant to this Agreement, the Company
         agrees to pay the executive during the Term, and the Executive agrees
         to accept the following:

         a.   A base salary at the rate of One Hundred Twenty-Five Thousand
              Dollars ($125,000) per annum, payable in installments during the
              Term hereof in accordance with the normal practice of the
              Company.

         b.   Discretionary bonus being determined by the President or Board of
              Directors.

         c.   Upon execution of this Agreement, the Executive shall receive
              options ("Options") to purchase ten thousand (10,000) shares of
              the Company's common stock. The Options shall be issued pursuant
              to the HA-LO Industries, Inc. Stock Plan and shall be exercisable
              at a purchase price equal to the Fair Market Value at the date of
              grant (as defined in the Stock Plan). The Options shall vest and
              be exercisable by Executive one year from date of grant.


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              i.   Except as provided below, the Option shall be valid for a
                   term commencing as of the date of grant ("Date of Grant")
                   and ending ten (10) years from the date of Grant (the
                   "Termination Date").

              ii.  If Executive is in default or otherwise breaches the
                   covenants set forth in this Agreement, or otherwise ceases
                   to be employed by the Company for any reason other than
                   death, permanent disability or a "change in control" (as
                   hereinafter defined), all unvested Options shall be
                   immediately forfeited and all vested Options previously
                   granted to executive shall be exercisable at any time prior
                   to the earlier of (i) the Termination date, or (ii) within
                   sixty (60) days after the date of Executive's breach of this
                   Agreement, or termination of employment.

              iii. For purposes of this agreement, the term "change in control"
                   shall mean the acquisition, on or after the date of this
                   Agreement, of more than fifty percent (50%) of the voting
                   rights with respect to outstanding common capital stock of
                   Employer, by a person, or group of persons acting in
                   concert, other than Lou Weisbach.

         a.   Performance is to be reviewed initially at six (6) months and
              compensation reviewed annually.

    5.   EMPLOYEE BENEFITS.  During the Term of this Agreement, the Executive
         shall be entitled to the following benefits:

         a.   The Executive shall be entitled to participate, subject to
              qualification requirements, in medical or other insurance or
              hospitalization plans which are presently maintained or
              hereinafter instituted by the Company and are made generally
              available to employees of the Company.

         b.   The Company shall reimburse the Executive for reasonable
              out-of-pocket business expenses which the Executive shall incur
              in connection with his services for the Company hereunder in
              accordance with Company policy upon presentation by the Executive
              of appropriate support.

         c.   Subject to the rules of the Company, the Executive shall be
              entitled to vacation leave of four (4) weeks during any calendar
              year.

         d.   Subject to qualifications and other requirements, the Executive
              shall be entitled to participate in any profit sharing/401(k),
              bonus or management incentives (including Non-Qualified Key
              Employee Plan), pension, retirement or insurance plan maintained
              by the Company and made generally available to employees of the
              Company.

    6.   TERMINATION.
         i. The Term of this Agreement and the Executive's employment
            hereunder shall terminate upon the first to occur of the
            following events:  (1) the mutual agreement of the Company and
            the Executive to so terminate this Agreement, (2) the death or
            disability (as hereinafter defined) of the Executive, or (3) the
            Company's election to terminate this Agreement and the
            Executive's employment hereunder "For Cause" (as hereinafter
            defined).  The term "Disability" shall mean any mental, physical
            or emotional disability or condition which is reasonably expected
            to last for one hundred twenty (120) days or more, and which
            prevents the Executive from performing substantially all of his
            duties hereunder.  Disability shall be determined by a physician
            selected by the Company with reasonable approval of Executive.


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        ii. The term "For Cause" shall mean any of the following:  A) the
            commission by the Executive of a breach of any material covenant,
            provision, term or condition set forth in this Agreement;  or B)
            the commission by the Executive of a felony or crime; or C) the
            commission by the Executive of an act of personal dishonesty or
            fraud involving personal profit, including, without limitation,
            theft, embezzlement, fraud or other misappropriation of funds.

       iii. In the event that there is a "change in control", as previously
            defined, in the initial 12 months of employment and the Executive
            is terminated because of this, the Company shall be obliged to
            continue to pay the Executive his salary for one year.

    7.   EXECUTIVE'S REPRESENTATION.  The Executive hereby represents and
         warrant to and with the Company that the Executive is not subject to
         any covenants, agreements or restrictions including without limitation
         any covenants, agreement or restrictions arising out of the
         Executive's prior employment or independent contractor relationships,
         which would be breached or violated by the Executive's execution of
         this Agreement or by Executive's performance of his duties hereunder.

    8.   CONFIDENTIALITY.  Executive acknowledges that by virtue of his
         employment with Company, he has been and/or will be exposed to or has
         had or will have access to confidential information regarding
         Company's business, including but not limited to, trade secrets and
         proprietary information, all of which are proprietary to Company
         referred to collectively as "Proprietary Information". Executive
         acknowledges that Company's Proprietary Information constitutes  a
         proprietary and exclusive interest of Company, and, therefore, agrees
         that during the term of his employment and thereafter, for any reason
         whatsoever, Executive shall hold and keep secret the Proprietary
         Information as described herein, as to which the Executive is now or
         any time during his employment shall become informed, and Executive
         shall not directly or indirectly disclose any such information to any
         person, firm, court, governmental agency or corporation or use the
         same except in connection with the business and affairs of Company.

    9.   NON-DISTURBANCE OF EMPLOYEES; NON-DISPARAGEMENT.  The Executive
         covenants that during the Term and for a period of two (2) years after
         the termination thereof, for any reason whatsoever, the Executive
         shall not, directly or indirectly, as an employee, agent, salesman or
         member of any person, corporation, firm or otherwise (a) solicit any
         employee, agent or independent contractor sales representative of the
         Company, the product of which contact will or may yield a termination
         of relationship of such employment, agency or independent contractor
         sales representative relationship of such employees, agents or
         independent contract sales representatives from the Company, or (b)
         make, whether in writing or orally, disparaging statements or
         inferences with respect to the company, its respective business,
         officers or shareholders.

    10.  RETURN OF MATERIALS.   The Executive will, at any time upon the
         request of the Company, and in any event upon the termination of his
         employment, for whatever reason, immediately return and surrender to
         the company originals and all copies of all records, notes, memoranda,
         electronic files, personal computers, computer discs, computer
         equipment, telephones, price lists, customer and customer prospects
         lists, business plans, recordings and other documents and other
         property belonging to the Company, created or obtained by the
         Executive as a result of or in the course of or in connection with the
         Executive's employment with the Company. The executive acknowledges
         that all such materials are, and will always remain, the exclusive
         property of the Company.

    11.  REVISION.  In the event that any of the provisions, covenants,
         warranties or agreements in this Agreement are held to be in any
         respect an unreasonable restriction upon or are otherwise


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         invalid, for whatsoever cause, then the court so holding shall reduce
         and is so authorized to reduce, the territory to which it pertains
         and/or the period of time in which it operates, to the scope of
         activity to which it pertains or effect any other change to the extent
         necessary to render any of the restrictions of the Agreements
         enforceable.

    12.  GENERAL PROVISIONS.


         a.   SEVERABILITY.  Each of the terms and provisions of this
              Agreement is to be deemed severable in whole or in part and,
              if any term or provision of the application thereof in any
              circumstances should be invalid, illegal or unenforceable, the
              remaining terms and provisions or the application thereof to
              circumstances other than those as to which it is held invalid,
              illegal or unenforceable, shall not be affected thereby and
              shall remain in full force and effect.

         b.   BINDING AGREEMENT.  This Agreement shall be binding upon the
              parties, their heirs, successors, personal representatives and
              assigns.  The Company may assign this agreement to any
              successor in the interest to the business, or part thereof, of
              the Company. The Executive may not assign any of his
              obligations or duties hereunder.


         c.   CONTROLLING LAW AND JURISDICTION.  This Agreement shall be
              governed by and interpreted and construed according to the
              laws of the State of Illinois. The Executive hereby consents
              to the jurisdiction of the state and federal courts in Illinois
              in the event that any disputes arise under this Agreement.

         d.   ENTIRE AGREEMENT.  This instrument contains the entire
              agreement of the parties with regard to the subject matter
              hereof, may not be changed orally, but only by an agreement in
              writing signed by the parties hereto.


         e.   FAILURE TO ENFORCE.  The failure to enforce any of the
              provisions of this Agreement shall not be construed as a waiver
              of such provisions. Further, any express waiver by any party
              with respect to any breach of any provision hereunder by any
              other party shall not constitute a waiver of such party's
              right to thereafter fully enforce each and every provision of
              the Agreement.

         f.   SURVIVAL.  Subject to the provisions hereof, the obligations
              contained in this Agreement shall survive the termination, for
              any reason whatsoever, for cause or otherwise, of the
              Executive's employment with the Company.


         g.   HEADINGS.  All numbers and headings of sections are for
              reference only and are not intended to qualify, limit or
              otherwise affect the meaning or interpretation of any Section.

         h.   NOTICES.  All notices which are required, permitted or
              contemplated hereunder to be given or made shall be given or
              made in writing by certified mail (return receipt required) to
              the Executive at 2012 N. CLEVELAND, CHICAGO, IL  60614,  and to
              the Company at 5980 West Touhy Avenue, Niles, Illinois, 60714,
              Attention: President.


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         i.   GENDER.  The masculine, feminine or neuter pronouns used herein
              shall be interpreted without regard to gender, and the use of
              the singular or plural shall be deemed to include the other
              whenever the context so requires.


WHEREFORE, the parties have executed this Agreement on the date and year first
above written.


HA-LO INDUSTRIES, INC.                           EXECUTIVE:




By: Richard A. Magid                             Michael Nemlich
Its: Chief Financial Officer


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