Global Leaders World Forum Montreal May 16, 2005

What is the IBM Global Work/Life Fund?  Fund to help IBM attract, retain, and motivate IBM employees  $50 Million  Customized projects that support the work/life needs of IBM employees, including child care and elder care needs of employees and the community

Why IBM Invests in Dependent Care  Reduce employee stress  Increase productivity and focus  Enhance employee commitment  Increase ability to attract, retain, and motivate talent  Employees include work/life programs in selection criteria for prospective employers

Results of USA Funds for Dependent Care U.S. employees highly value the investments IBM is making in dependent care: 15 site surveys conducted in 1997– employees said:  79% Programs help them balance work and family responsibilities  69% Programs help attract employees to IBM  76% Programs help IBM retain employees  83% Programs have a positive influence on their feelings about IBM  78%Programs demonstrate IBM's leadership in the business community

Dependent Care Responsibilities for IBM Employees Employees in all geographies have significant dependent care responsibilities. Europe/Middle East/Africa (EMEA) and Latin America (LA) have more responsibility for elders.

Key Findings  Employees are struggling to meet business needs and have a personal life  Dependent care supports are critical to attracting and retaining key talent  Lack of quality dependent care is a barrier for the advancement of women  Existing care is often not aligned with IBM need – quality, hours, location, family-friendly practices  Inadequate supply globally - especially infants and school age

How the GWLF Works  Regional business priorities determine countries  Targeted in about 30 countries in all regions of the world  Develop recommendations and strategies based on assessments  Work with local providers/experts to deliver strategic and high-quality solutions

IBM GWLF Guiding Principles  Goal to enhance IBM's business by increasing the productivity, retention, and career success of key talent  Strategic business initiative, not charitable dollars  Priority funding given to projects with highest potential for greatest impact on employees  Projects targeted to improving the supply and quality of care − Catalysts to improve dependent care infrastructure − Targeted investments in dependent care programs

IBM GWLF Guiding Principles -- Continued  Projects will have defined goals and measurable outcomes  Only projects that meet high quality standards will be funded  Leverage IBM's investment, through collaboration, but only when these opportunities meet IBM's primary business needs of employee support/leadership  In all projects, IBM employees will receive priority but almost all projects are open to the community

Targeted Countries 2005 Americas – Argentina – Brazil – Canada – Chile – Mexico – United States – Venezuela

Targeted Countries 2005 Europe/Middle East/Africa (EMEA) –Belgium –Czech Republic –France –Germany –Hungary –Ireland –Italy –Netherlands –Poland –Slovakia –South Africa –Spain –Sweden –Switzerland –United Kingdom

Targeted Countries 2005 Asia Pacific − Australia/New Zealand − China − India − Japan − Korea − Philippines − Singapore − Taiwan

Examples of Funded Child Care Projects Outside of United States  New child care centers Canada, Ireland, Korea  Child care center priority in existing programs China, Mexico, Japan, Canada,  Camps and Holiday/Vacation Programs Germany, India, Japan, Sweden, South Africa, Singapore, UK  Family child care (childminder) networks Germany, Singapore  Global Healthy Child Care GHCC: Piloted in Argentina, China, South Africa  Resource and Referral Brazil, France, Japan, Singapore  Support of center accreditation standards Chile, Global Leaders

Questions? Contact: Abby Shapiro WFD Consulting