AGING SOCIETY. Borders Group and The Value of Older Workers. B U S I N E S S S O L U T I O N S for an. September 23, 2005 The Drake Hotel Chicago, IL
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1 B U S I N E S S S O L U T I O N S for an AGING SOCIETY Borders Group and The Value of Older Suzann Trevisan Borders Group, Inc. September 23, 2005 The Drake Hotel Chicago, IL
2 Borders Group Who We Are Palo Alto, CA Borders Group is a leading global retailer of books, music, movies, gifts and stationery. This Fortune 500 Company had 2004 total store sales of $3.9 billion and a net income of $159.1 million 462 Borders superstores in the US 42 Borders International superstores in U.K., Asia Pacific 700 Specialty retail stores Paperchase Products, Ltd. Business Solutions for an Aging Society 2
3 Mature Worker Employee Base 15% of our total workforce is over 50 years old Nearly 90% of our mature workers hold a variety of positions at our Borders or Waldenbooks stores The remaining 12% are employed at our corporate headquarters or our distribution centers More than 55% of our mature workers hold fulltime positions. Business Solutions for an Aging Society 3
4 Understanding the Value of Mature A highly qualified pool of replacement workers for the predicted labor shortage Extremely customer-focused, well-read, with a passion for books, music and movies. The more we are able to reflect our customer base in our local stores, the more profitable our stores become Stable and dependable resulting in a positive impact on employee turnover Business Solutions for an Aging Society 4
5 What Borders Offers to Mature The three driving employment relationship factors at Borders Group are: Flexibility in scheduling (FT or PT, Days/Nights, Weekdays/Weekends) Strong benefits program (medical, dental, vision, 401(k), even at the PT level) Positive work environment (product, community, customer interaction, intellectual stimulation) Business Solutions for an Aging Society 5
6 Demonstrating the Value of Mature Promote Value of Mature through: External media opportunities and interviews Promote relationship externally and internally on website s Featured Employers Page Internal promotion of Featured Employer program through various channels (Scoop, BEAT, VOE) on a quarterly basis Highlight the business imperative of diversity initiatives through diversity month events, articles and activities Business Solutions for an Aging Society 6
7 Demonstrating the Value of Mature Leverage AARP Foundation/Featured Employer relationship: Tools: provide Hiring Teams with resources such as SCSEP locations, AARP Field Offices, AARP demographic report Events: Launches, SCSEP job fairs, symposiums Networking: build relationship with local support agencies Media: participate in AARP organized interviews, case studies, conferences Business Solutions for an Aging Society 7
8 Demonstrating the Value of Mature Impact Diversity Recruitment Nationally and Regionally: Nationally: Seek out national partnership arrangements (I.e. AARP, SER) Regionally: Build functional or market specific diversity plans with operational partners. Pacesetter Program: market demographics highlight recruitment opportunities at the store level. Implementation of action plans and accountability Business Solutions for an Aging Society 8
9 Demonstrating the Value of Mature Medical Dental Life Disability Vision 401(k) Domestic Partner Benefits Foundation Grant Assistance Group Rate Discounts Work/Life Balance Services Job-specific Training Technical Training Management / Leadership Training Opportunity to Learn from Manager / Mentor Career Advancement Opportunities Succession Planning Base Pay Pay Increases Paid Personal Time Paid Sick Time Paid Vacation Time Stock Options Merchandise Discount Rewards & Recognition Flexible Work Schedule Access to Technology Safe Work Environment Job Security Casual Dress Code Social Activities & Events Volunteer Programs Diverse Workforce Open Communication Confidence in Leadership Business Solutions for an Aging Society 9
10 Demonstrating the Value of Mature Execute additional recruitment/retention strategies: Benchmark to determine industry best practices and potential application within Borders environment Build strategic points of differentiation trying to establish a formalized Passport Program Educate Leaders on management practices within a multi-generational environment Hold Management accountable for diversification of workforce and retention through VOE Business Solutions for an Aging Society 10
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