Vanguard

Source: AARP.org | September 25, 2007

Winning years: 2007, 2004
Industry: Financial Services
Location: Valley Forge, PA
URL: www.vanguard.com

Highlights of 2007 Winning Strategies

Vanguard University is a company-wide program that delivers more than 3,000 classes and study programs to employees. Some unique benefits offered to employees include: legal services, scholarship and academic assistance programs, employee referral monetary incentive, and a 529 College Savings Plan.

Additional Policies and Practices:

• Workplace Culture/Continued Opportunities: Vanguard University offers full- and part-time employees these learning and development programs: in-house classroom training, on-line training, and certification classes. Employees who work at least 37 hrs/week are also eligible for the tuition reimbursement program. All employees have an individual development plan, which includes courses taught through Vanguard University. Vanguard sponsors a "Career Development Days" program, which encourages employees to enhance their careers. Due to employee requests, Vanguard has made these benefit improvements: compensation redesigns, paid time-off packages, addition of domestic partner benefits, and introduction of numerous work/life initiatives. Employees may develop new skills by participating in team projects, temporary assignments in other departments, job rotations, internships, and lateral moves which offer a financial incentive. The company offers flexible scheduling options to those who need special work arrangements.
• Benefits/Health: Full- and part-time employees (working 25+ hrs/week) receive individual and family medical coverage, individual and family prescription drug coverage, individual and family vision and dental insurance, and short- and long-term disability. Individual and family long-term care insurance is offered to those working at least 15 hours per week. Health benefits for retirees pre-65 include individual and spouse medical and drug coverage, vision and dental insurance, EAP services, and life insurance or other death benefit coverage. Retirees age 65+ receive individual and spouse life insurance or other death benefit coverage. New hires are eligible for all these benefits upon retirement. Vanguard offers an FSA plan to assist employees with out-of-pocket health care costs and a retiree medical account, which can be used for employees and spouses for reimbursement of medical plan premiums (including Medicare).
• Benefits/Financial: Vanguard offers a 401(k) (with company match) as well as stock options to its full- and part-time employees. Employees may invest in lifecycle funds, and employees 50+ can make catch-up contributions. The company offers employees age 50+ a free Personal Financial Planning module, and all employees have access to free independent investment advice on-line. Employees also receive financial planning information from the financial services firm that administers their 401(k). Vanguard offers paid time off specifically for caregiving, short-term time off without pay, and long-term leaves of absence without pay for caregiving. Full- and part-time employees are offered these wellness programs: flu shots, health screenings, health risk appraisals, smoking cessation programs, health club discounts, physical activity/exercise programs, weight loss programs, and stress management training. Vanguard has an on site fitness center. The company offers the following dependent care benefit to its full- and part-time employees: backup care for childcare, backup care for eldercare, referral services to assist with childcare, and referral services to assist with eldercare.
• Benefits/Alternative Work Arrangements: All employees are offered flex-time as an alternative work arrangement while compressed work schedules are offered exclusively to full-time employees. Full-time employees are eligible to move to part-time work on a permanent and temporary basis.
• Opportunities for Retirees: There is an individual within Vanguard who is directly responsible for retiree relations. Vanguard stays connected with its retirees by communicating regularly, providing retirement planning workshops/information, and formally acknowledging them when they retire. Retirees are offered temporary work assignments and full- and part-time work.
• Age of Workforce: Proprietary