1. © Ceridian Corporation. All rights reserved. Reward & Benefits; Simple Things that Add Lots of Value Graeme Weymes Sales Director – Lifeworks & Partnerships Ceridian UK

2. © Ceridian Corporation. All rights reserved. The Wider Scope of Reward and Benefits…. …. INTEGRAL to Supporting and Engaging Employees …. AND WHY is this SO IMPORTANT?

3. © Ceridian Corporation. All rights reserved. Everyone Knows Employee Engagement Is Vital to Success…… Data Sources: Engaging for Success: Enhancing performance through employee engagement - A report to Government bv David Macleod and Nita Clarke November 2009 Harter,J.K. et al (2006), Gallup Q12 Meta-Analysis Gallup Organisation (2006). ‘Engagement predicts earnings per share Krueger, J. & Killham, e (2007 ‘The Innovation Equation. Gallup Management Journal Truss, C., Soane, E., Edwards, C., Wisdom, K., Croll, A. and Burnett, J (2006) ‘ Working life: employee attitudes and engagement 2006’ CIPD Gallup, 2003, cited in Melcrum (2005), ‘Employee Engagement: How to build a high performance workforce’ The Attraction Of Getting It Right… 18% higher productivity, 12% higher customer advocacy & 12% higher profitability Earnings per share 2.6 times higher Best Companies To Work For ’04 – ’08 turnover up by 94% and profitability up by 315% 59% of engaged employees say their job makes them more innovative Only 3 in 10 UK employees can be classed as being engaged Employee turnover up by 51% and accidents up by 62% Disengaged employees take 6.19 on average sick days per annum versus the 2.69 days taken by their engaged colleagues The estimated costs to the UK economy of low engagement is between £59.4 billion and £64.7billion per annum The Cost Of Getting It Wrong Is Hugely Significant…

4. © Ceridian Corporation. All rights reserved. What Matters To Employees - Ceridian Research Data Source: Changing The Face Of Reward: Engaging Employees Through The Recession. Ceridian / Vebnet Research August 2009

5. © Ceridian Corporation. All rights reserved. Your Employees Have Changing Financial Priorities…. Data Source: Changing The Face Of Reward: Engaging Employees Through The Recession. Ceridian / Vebnet Research August 2009

6. © Ceridian Corporation. All rights reserved. Where Your Employees Are Asking For Financial Focus…. Data Source: Changing The Face Of Reward: Engaging Employees Through The Recession. Ceridian / Vebnet Research August 2009

7. © Ceridian Corporation. All rights reserved. Your Employees Working Landscape is Constantly Changing…. Potential uncertainty and instability More effort for less Changing work structures More flexible roles required Performance challenges Continual change Customer loyalties changing Less Security and Loyalty Work intensification

8. © Ceridian Corporation. All rights reserved. 38% of employees feel under excessive pressure in their jobs 26% of employees don’t think they have the right work life balance 46% of employees have noticed an increase in stress levels Around 175 million working days lost to sickness absence each year cost to economy £13 billion a year (CBI) Loss of productivity from those ill but still in work – [Lack of “Presenteeism”] estimated cost of £15 billion from mental ill health alone (Sainsbury Centre for Mental Health) In Work and Out of Work…. Presenteeism & Productivity is Hurting

9. © Ceridian Corporation. All rights reserved. Knowing all this - How Can You Help Support Employees Further? NOT ONE THING ALONE Many simple things that add lots of value….

10. © Ceridian Corporation. All rights reserved. How Can You Help Support Employees Further? Communications - Build Your “Brand HR” -Giving Your People A Voice - Articulate The Value Your Business Brings to Employees -Articulate the Value Individuals Bring to Your Business

11. © Ceridian Corporation. All rights reserved. HR Leading Company Branding of Employee Communications

12. © Ceridian Corporation. All rights reserved. 12 HR Leading Company Branding of Employee Communications

13. © Ceridian Corporation. All rights reserved. HR Leading Company Branding of Employee Communications

14. © Ceridian Corporation. All rights reserved. Knowing this - How Can You Help Support Employees Further? Communications - Build Your “Brand HR” - Giving Your People A Voice - Articulate The Value Your Business Brings to Employees -Articulate the Value back to Individuals on how they Bring Value to Your Business - Measurement and Articulation of Reward Value - Team meetings / exercises to Agree Methodology - Value Log

15. © Ceridian Corporation. All rights reserved. Knowing this - How Can You Help Support Employees Further? Communications - Build Your “Brand HR” - Giving Your People A Voice - Articulate The Value Your Business Brings to Employees -Articulate the Value Individuals Bring to Your Business Helping Your People In Work & Non Work Life - Personal Issues Are Evident in The Workplace - Ensure A Mechanism Is In Place To Manage This

16. © Ceridian Corporation. All rights reserved. Why The Need To Offer both Work & Lifestyle Support? RELEVANCE 38% of employees feel under excessive pressure in their jobs 26% of employees don’t think they have the right work life balance Loss of productivity from those ill but still in work - estimated cost of £15 billion from mental ill health alone (Sainsbury Centre for Mental Health) TRUST Provide a duty of care and safety net for all employees when they have difficulties 24/7 immediate support Confidentiality when employees need support A pragmatic benefit valued by employees VALUE Help minimise sickness absence £692 per year per employee Help employees stay productive and engaged

17. © Ceridian Corporation. All rights reserved. An Employee Assistance Value Proposition – “Art of The Possible” Employee Engagement Organisation Employee Productivity Profitability Growth Quality of working life Family responsibilities Managing the demands of work Professional Development Reducing absence A safety net Maintaining Employee health and wellbeing A helping hand when needed A listening ear Timely intervention and support Survival Resilience A reliable provider Value for Money Focussed employees 24/7 service Work – Life Balance Someone to talk to Tools and Information

18. © Ceridian Corporation. All rights reserved. 24/7 telephone helpline Qualified counsellors for intake calls Network of 700 qualified face to face counsellors Individual case management of all counselling Formal referral to Occupational Health and Psychiatric Family member inclusion EAPs – Emotional Wellbeing Emotional Wellbeing Employee Assistance Programme…. Core Support Functionality

19. © Ceridian Corporation. All rights reserved. Promoting Employee Support Case Managing Individuals via EAPDifferent Methods of Support Client Report & ROI Focus on Areas of ImpactService excellence & measurementBusiness risk mitigation controls IntelligenceIntelligence Seminars Training Coaching Consulting Research Analysis Counselling Information Publications Legal Dependant care Work-Life Multi-Faceted Approach to Implementing Employee Assistance… LWOL

20. © Ceridian Corporation. All rights reserved. And Support Mechanisms in Times of Specific Need…. Critical Incidents – onsite response / training Work-Life Integration Programmes Employee Seminars Stress & Resilience Programmes Change Management Programmes Coaching sessions – Executive Coaching – Performance Coaching – Skills Coaching Health & Wellness Services – Health Risk Assessments – Road-Shows & Awareness Days Lifestyle Management Outplacement Mediation

21. © Ceridian Corporation. All rights reserved. Knowing this - How Can You Help Support Employees Further? Communications - Build Your “Brand HR” - Giving Your People A Voice - Articulate The Value Your Business Brings to Employees -Articulate the Value Individuals Bring to Your Business Surveys - Simply Asking For What Your People Require Helping Your People In Work & Non Work Life - Personal Issues Are Evident in The Workplace - Ensure A Mechanism Is In Place To Manage This

22. © Ceridian Corporation. All rights reserved. Surveys… Listening to Employees Feedback….

23. © Ceridian Corporation. All rights reserved. DEPARTMENT / AREA A DEPARTMENT / AREA B And Drill Down into More Detail….

24. © Ceridian Corporation. All rights reserved. Knowing this - How Can You Help Support Employees Further? Communications - Build Your “Brand HR” -Giving Your People A Voice - Articulate The Value Your Business Brings to Employees -Articulate the Value Individuals Bring to Your Business Align Benefits & Strategy To Their Needs - Review Your Benefits – Only Those That Are Appropriate Survive - Reward & Recognition Framework - Flexible Benefits – Balanced Long Term Health - Voluntary Benefits – Real & Immediately Tangible Surveys - Simply Asking For What Your People Require Helping Your People In Work & Non Work Life - Personal Issues Are Evident in The Workplace - Ensure A Mechanism Is In Place To Manage This

25. © Ceridian Corporation. All rights reserved. Why Benefits? Company / Employee View – from 50,000 feet Save money on benefits spend Support reward objectives Attract and retain the best employees Show employees the added value complete package Encourage better performance by lifting morale Become / Remain “Employer of Choice” status Improve efficiency on benefits packages & processing

26. © Ceridian Corporation. All rights reserved. TOTAL BENEFITS Benefits Must Support your Company Strategy… but Externally ….

27. © Ceridian Corporation. All rights reserved. 27 Current Benefits Changes in UK Market….  Shift towards more holistic approach to reward – including wealth/goal planning  Embedding financial education content  Tailored messaging to specific employees  More than an annual event  Greater insight to benefit data  Integrated supply chain – data and products  Inclusion of specialist financial products & services  Cost control measures for HR & the employer  A single destination for all employee data  Looking for competitive advantages – especially in retention  Frustration with first generation purchases

28. © Ceridian Corporation. All rights reserved. 28 Current Benefits Changes in UK Market….  Shift towards more holistic approach to reward – including wealth/goal planning  Embedding financial education content  Tailored messaging to specific employees  More than an annual event  Greater insight to benefit data  Integrated supply chain – data and products  Inclusion of specialist financial products & services  Cost control measures for HR & the employer  A single destination for all employee data  Looking for competitive advantages – especially in retention  Frustration with first generation purchases

29. © Ceridian Corporation. All rights reserved. 29 Tailoring Messages to Match Employee Profiles….

30. © Ceridian Corporation. All rights reserved. From Flexible Benefits research....

31. © Ceridian Corporation. All rights reserved. From Flexible Benefits research….

32. © Ceridian Corporation. All rights reserved. Benefit Definitions…. Total Reward – the concept of valuing all cash and non-cash elements of reward that an employee receives, illustrating the real cost and therefore real value to each employee Flexible Benefits – the ability to pick and choose options from a pre- defined list using at least a proportion of money funded by the organisation Voluntary Benefits – employer negotiated discounts or offers which employee can access/select at any time and pay for themselves Ceridian Solution –tends to provide integrated hybrids of all three

33. © Ceridian Corporation. All rights reserved. Total Reward Statement

34. © Ceridian Corporation. All rights reserved. An Overview of Typical Flex Services…. Design Consulting Communication - includes employee research Global Benefit Technology - includes TRS, Flex & Voluntary Benefits Benefit Provider Selection Outsourced Administration Employee Helpdesk Full service or modular approach Dedicated project team Clearly defined roles and milestones All services managed in house

35. © Ceridian Corporation. All rights reserved. Implementing the solution Stage 1 PLANNING Agree project GOAL and identify all stakeholders Agree scope of project and all costs Agree definition of success Ascertain areas of risk Finalise project timeline PLANNING Agree project GOAL and identify all stakeholders Agree scope of project and all costs Agree definition of success Ascertain areas of risk Finalise project timeline Stage 2 CONFIGURE Flex Design review Comms planning TRS design ------------------------ Configure System Configure interfaces ------------------------ Create comms materials ----------------------- Review Admin processes and procedures CONFIGURE Flex Design review Comms planning TRS design ------------------------ Configure System Configure interfaces ------------------------ Create comms materials ----------------------- Review Admin processes and procedures Stage 3 TEST Load test data Check data and perform testing Resolve any system or data issues TEST Load test data Check data and perform testing Resolve any system or data issues Stage 4 GO LIVE Load live data ---------------------- Deliver comms materials Launch TRS ---------------------- Flex enrolment GO LIVE Load live data ---------------------- Deliver comms materials Launch TRS ---------------------- Flex enrolment Content can be Complex – Requires Detailed Project Management

36. © Ceridian Corporation. All rights reserved. Employees Username/Password Access Single Sign-on Helpdesk telephone access Paper enrolment Enrolment Total Reward Statement Provider Reports [inc’ shared services] Importer FilePayroll File(s) Leavers Joiners and Changes Fix&Flex® In Operation - Easy to Use: Simple Operating Model

37. © Ceridian Corporation. All rights reserved. 37 Simple Enrolment via the 24/ 7 Portal….

38. © Ceridian Corporation. All rights reserved. And Again – Presenting the Value Back to Employees….

39. © Ceridian Corporation. All rights reserved. Delivery Vehicle for Salary Sacrifice & Flexible Benefits Salary sacrifice & fiscal efficiency benefits are accessible through payroll only – Role of payroll is to demonstrate compliance/auditability to regulatory body (HMRC) – Choice of what, when & who is determined by employer only Flexible benefits can provide both broader access to many benefits and pass choice back to employee – Drive greater employee engagement & reward through choice and self service – Will manage a greater basket of benefits (salary sacrificable or not) Not Mutually Exclusive Employee Reward Employer Reward Salary Sacrifice Contractual arrangement where employee gives up cash remuneration in return for non- cash benefit. (NI saving) Flexible Benefits A benefits plan that allows employees to select from a pool of choices, some or all of which may be tax- advantaged. (Engagement)

40. © Ceridian Corporation. All rights reserved. Driving engagement through Provision of Voluntary Benefits HRevolution Perks Retail vouchers and 1,000 + upfront discounts Invite up to 10 friends and family to join Loyalty points Best-of-breed tool Standard Voluntary Benefits

41. © Ceridian Corporation. All rights reserved. Driving engagement through Provision of Voluntary Benefits HRevolution Perks Retail vouchers and 1,000 + upfront discounts Invite up to 10 friends and family to join Loyalty points Best-of-breed tool Access to all the discounts and elements of the standard service Access to 200+ exclusive and premium discounts which are time limited and at VIP saving levels Standard Voluntary Benefits Premium Bespoke Voluntary Benefits HRevolution Perks

42. © Ceridian Corporation. All rights reserved. RELEVANCE · What employees want · When employees want it TRUST · Clear, meaningful savings · Community driven content VALUE · Limited in time and exclusive · 25% minimum discount Voluntary Benefits: Do Employees Really Use It? 85% of employees register in year one 25% of employees visit once per week Average employee saves over £750 per year

43. © Ceridian Corporation. All rights reserved. Plays to Positive Communications with Employees

44. © Ceridian Corporation. All rights reserved. Plays to Positive Communications with Employees

45. © Ceridian Corporation. All rights reserved. Knowing this - How Can You Help Support Employees Further? Communications - Build Your “Brand HR” -Giving Your People A Voice - Articulate The Value Your Business Brings to Employees -Articulate the Value Individuals Bring to Your Business Align Benefits & Strategy To Their Needs - Review Your Benefits – Only Those That Are Appropriate Survive - Reward & Recognition Framework - Flexible Benefits – Balanced Long Term Health - Voluntary Benefits – Real & Immediately Tangible Technology - Maximising the Use of Technology to Positively Help Employees Helping Your People In Work & Non Work Life - Personal Issues Are Evident in The Workplace - Ensure A Mechanism Is In Place To Manage This Surveys - Simply Asking For What Your People Require

46. © Ceridian Corporation. All rights reserved. Benefit to Employee of Integrated Technology Systems…. Ceridian HRevolution  HR system  Managed or Bureau Payroll  Online Reporting  Online Documents  Electronic Exchange Workforce Management  Timesheet Module Rostering Ceridian HRevolution Support Desk Payroll Dept. Finance HR Dept. Managers/EMPLOYEE Self Service Dynamics HR, Payroll, Finance & Managers Managers/ EMPLOYEES Online PayslipsOnline ReportsGeneral Ledger Feed

47. © Ceridian Corporation. All rights reserved. Technology - Decrease costs & increase employee engagement Lever Technology Ceridian Service Input Customer inputs Limited Outsource Full Outsource Overall Outsourcing Proposition Service Offer Request a Holiday Process How? Process & Workflow

48. © Ceridian Corporation. All rights reserved. Utilising Technology to “Make Working Life Easier” SELF - SERVICE TECHNOLOGY -Maintain personal info - Request holidays online - Complete performance reviews - Review rosters - Collect & query payslips

49. © Ceridian Corporation. All rights reserved. Utilising Technology to “Make Working Life Easier” SELF - SERVICE TECHNOLOGY -Maintain personal info - Request holidays online - Complete performance reviews - Review rosters - Collect & query payslips -Access voluntary discounts - Access lifestyle information - Update skills and qualifications - View attached documents EXPENSE Submission & Control….

50. © Ceridian Corporation. All rights reserved. Expense Control – Easy for Employee – Control for Employer CERIDIAN EXPENSE MANGEMENT Web Enabled Rules Based Controls Policy controls Multi-lingual/Country Capability Expenses Control Employees Manager Approval Receipts Reports BACS File General Ledger CERIDIAN

51. © Ceridian Corporation. All rights reserved. Expenses – Simple to Use – Easier for Employee & Employer

52. © Ceridian Corporation. All rights reserved. Electronic Submission & Expense Control Faster re-imbursement on all expense claims “My boss will receive these electronically & can sign them off” “It’s easy to understand the rules now – they’re visible” “My company can use my spend to negotiate better deals” “My Corporate Card feeds directly into the system” “Any currency – I don’t have to use converters” “I can do my expenses anytime, anywhere on-line” “Simple to use Technology makes my life easier…”

53. © Ceridian Corporation. All rights reserved. Knowing this - How Can You Help Support Employees Further? Communications - Build Your “Brand HR” -Giving Your People A Voice - Articulate The Value Your Business Brings to Employees -Articulate the Value Individuals Bring to Your Business Align Benefits & Strategy To Their Needs - Review Your Benefits – Only Those That Are Appropriate Survive - Reward & Recognition Framework - Flexible Benefits – Balanced Long Term Health - Voluntary Benefits – Real & Immediately Tangible Technology - Maximising the Use of Technology to Positively Help Employees Helping Your People In Work & Non Work Life - Personal Issues Are Evident in The Workplace - Ensure A Mechanism Is In Place To Manage This Surveys - Simply Asking For What Your People Require Let Your People Guide You - Defined Corporate Social Responsibility Plan - Provide Framework for Charitable Giving - Management Training – Devolution of Responsibility

54. © Ceridian Corporation. All rights reserved. Reward and Benefits: Lots of Simple Things that Add Value…. Integrating Reward & Benefits with other Employee Support Tools… Leads to a more engaged and effective Workforce…. Improved Customer Relations…. Improved Bottom Line…