1. TOTAL REWARD TELLING OUR PEOPLE THE WHOLE STORY Bill OShaughnessy Deputy HR Director - UKBA Presentation to London Councils Pay Club 9 Sept 2008

2. UK BORDER AGENCY SOMETHING ABOUT US Formed on 1 April 2008 Merger of the Home Office Border & Immigration Agency, HM Customs and Revenue Detection Division and UK Visas Unionised organisation, high profile public agenda Controlled Migration Earn the right to stay Firm but fair system Strong Borders

3. LITTLE BRITAIN A QUIZ ….. Were only a little island…. How many passenger journeys and how much freight crosses our Borders each year?

4. LITTLE BRITAIN 218 million passenger journeys 440 million tons of freight By 2030 we estimate there will be 450 million passenger journeys

5. UK BORDER AGENCY STRONG BORDERS From April to the end of July 2008 we: Seized £130 million worth of illegal drugs Stopped 6734 individual attempts by people trying to cross the Channel illegally Seized in excess of 340 million cigarettes with a value of more than £11m Took almost 2340 dangerous weapons off the streets Conducted over 382,860 freight vehicle searches From 2003-2007, our international network has prevented nearly 210,000 people boarding places without proper documents – thats around two jumbo jets every week.

6. UK BORDER AGENCY OUR WORKFORCE – DO WE EMPLOY? ?

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9. UK BORDER AGENCY OUR WORKFORCE 25,000Several… Some of these… In 135 countries across the world

10. TOTAL REWARD OUR REWARD REVIEW In 2006/7, a review was published looking at performance of the former Home Office Immigration and Nationality Directorate Identified challenges around linking reward to performance We set about a reward review We saw and had feedback from about 1000 employees on their views of our reward package, and what they wanted to see in the future Some common themes emerged: Our people understood base salary – but didnt understand the value of the total package on offer – especially their pension and other benefits; It was clear we werent communicating it effectively – all a bit confusing; They agreed we needed to do more to link performance to reward; They wanted better benefits

11. TOTAL REWARD OUR MODEL BASE RECOGNITION BONUS BENEFITS Great Job Work / Life Balance Learning & Development Enabling Environment Performance ManagementJob EvaluationSystems InfrastructureEmployee Relations

12. TOTAL REWARD WORK SO FAR….. In May 2008 we issued Total Reward Statements to our employees; Feedback on our blog: This was a waste of money This is all my entitlements I have a statutory right to 40 days leave Stop moaning! Its benefit not entitlement Oh yes it is… I didnt realise I had all of those things…. We now follow up with the message and put it into the context of total reward

13. TOTAL REWARD NEXT STEPS BENEFITS April 2008 - EAP 21 July 2008 – Voluntary Benefits Scheme Launch 29 Sep 2008 – Salary Sacrifice on Bikes and Bus Season Tickets October 2008 – UKBATime November 2008 – Enhancing the VB/SS/Affinity Scheme But what are the messages to our people? You asked us to improve your benefits package so we have and in a very cost effective way We value what you do for us and do a great job – thank you This is a great place to work Work / Life Balance

14. TOTAL REWARD UKBA TIME BENEFITS We offer our people 22 time based benefits; Flexi-time, compressed hours contracts, term-time working, time off for Special Constabulary, time off for Duke of Edinburgh Award, very generous sick leave provisions and so on; These are buried in the staff handbook across a large document – so this is not a new benefit; All being marshalled together into UKBATIME with Z Card guides to employees later in the year Placing this into the context of your total reward package Weve started the conversation, lets keep it going now Work / Life Balance

15. TOTAL REWARD NEXT STEPS RECOGNITION This month we hold our first national awards evening based on our values (please see your pen!) Gala event with winners highlighted We are re-vamping our existing recognition programme of special bonuses and vouchers, meals out and so on to make it manager friendly, quick and easy to use – that is being re-launched later this year

16. TOTAL REWARD CREATION OF UKBA BASEBONUS Several sets of legacy terms and conditions Talking to our people and their unions on the right way forward Complex merger and acquisition situation But will stay as part of our total reward approach – aligned to our people strategy

17. Any questions?