How Much is Too Much? America’s Addiction to Gasoline and Its Impact on the Workforce

1. How Much is Too Much? America’s Addiction to Gasoline and Its Impact on the Workforce June 10, 2008

2. Table of Contents • Methodology and Demographics 3 • Executive Summary 4 • Key Findings 5 • Recommendations 15 2

3. Methodology: Conducted online survey with Telework Exchange registrants from May 1-3 2008 • Sample Profile: • 100% employed full time • 39% are teleworkers* • 61% are non teleworkers *Of the teleworkers, 1% telework full time (5 days per week). The majority (81%) telework 1 or 2 days per week. • Total Sample Size: 377 responses • Margin of Error: +/-6.06% with a 95% Confidence Level Study Telework Definitions: Teleworker: An employee who works outside of the official workplace during their regularly scheduled work hours – either at home or an alternative workplace – on a full-time, part-time, or situational basis. In the study results, teleworkers are referred to as official teleworkers. Non teleworker: An employee who works at the official workplace. 3

4. Executive Summary • Strong Addiction:Majority of Americans (84%) rely on their cars/trucks/SUVs for transportation to/from work, spending on average $2,052 per year. The cost is growing • Changing Behaviors:Most Americans (78%) report that they are making lifestyle changes including taking fewer car trips, consolidating errands, and eating out less frequently • Recruitment and Retention Challenge:Rising fuel costs are influencing job choices.89%of respondentssay that they would limit a job search due to potential commuting costs.28%are looking for a new job today, due to commuting costs • Telework – The Other Fuel:The majority of respondents (92%) believe that their job could be done from home via telework, although just 39% currently telework. If 53%of white-collar employees could telework 2 days a week, they could collectively save 9.7 billion gallons of gas and $38.2 billion a year 4

5. Needle in the Arm:Commuting Habits What is your primary source of transportation to and from work? 8%: Car pools, ride shares 84%: Cars/Trucks/SUVs 8%: Other Takeaway: Strong Addiction 5

6. 24 mpg Average Miles Per Gallon Feeding the Habit: Commuting Costs On average, what do you spend on gas to commute? $3.94 Average Cost Per Gallon (May 2008) 50 Miles Average Round Trip = $8.21 per day or $41.04 per week or $2,052 per year* Takeaway: It Adds Up *50 weeks 6

7. 66 Minutes Per Day 22 Hours Per Month 264 Hours Per Year Feeding the Habit: Commuting Time On average, how much time do Americans spend commuting? or or Takeaway: What Could You be Doing? 7

8. Getting Your Fix: How Much is Too Much? How much do you expect to pay for gas this summer? How much are you willing to pay? $4.09/Gallon* 38% Face Reality – Say “Anything” or $170/Month *Data collected May 1-3, 2008. As of May 29, 2008, national average is $3.94 (DOE). Takeaway: Prices May Rise Above Expectations 8

9. Rehab or Cold Turkey: Steps Americans are Taking Have you changed your lifestyle to offset the increase in gas prices? Takeaway: It’s Tough to Quit 9

10. Many Roads to Recovery: Steps Americans are Taking How have rising gas prices affected your lifestyle? 73%Limiting car trips 72%Consolidating errands 62%Spending less 53%Eating out less frequently 10%No impact on my lifestyle 9%Purchased a more gas efficient car Takeaway: Making Concessions 10

11. Addiction on the Job: Still Commuting Independently Are you using any of the following methods to commute to work to offset high gas prices?  Yes Car pooling/ride sharing/slug lines 13% Public transportation 10% Bicycling 2% Walking 2% Takeaway: Not Much Has Changed 11

12. Addiction on the Job: Fuel Impacts Job Choices If you were to look for a new job today, would you limit your job search to a certain location due to potential commuting costs? 28% Of employees are currently looking for another job closer to home to lesson the burden of commuting with high gas prices Takeaway: Employers – Stop and Think 12

13. Options: Telework – The Other Fuel Could you complete your job via telework? Do you currently telework? 53% The Telework Opportunity If 53% of white-collar employees* could telework 2 days a week, they could collectively save 9.7 billiongallons of gas and $38.2 billion a year. Takeaway: Eliminate Telework Barriers *Based on 2007 data from the U.S. Department of Labor, Bureau of Labor Statistics 13

14. Our Addiction: How Much is Too Much? Would you be interested in teleworking to reduce your commuting costs? If gas prices continue to rise, at what gas price are you most likely to investigate the option of teleworking? $3.75* Takeaway: We Are There – Re-evaluate Employee Options *Data collected May 1-3, 2008. 14

15. Recommendations • For Managers and HR Executives: • Consider Options:Fuel costs will increasingly impact recruitment and retention. Create strategies to help employees cope – from telework to ride-sharing – and leverage as a competitive recruitment and retention advantage • For Employees: • Telework - The Other Fuel: Explore the option to telework in your organization. Sign up as a member of Telework Exchange at www.teleworkexchange.com • Calculate the Cost:Visit the Commuting Cost Calculator (http://www.teleworkexchange.com/calc-select.asp) to estimate the cost of your commute • Talk: Use the Telework Gizmo (http://www.teleworkexchange.com/gizmo/) to determine if your position is eligible for telework, and then talk to your manager • Start Slow: If your manager is open, consider starting with one or two days per week – focus on measurable outcomes to demonstrate continued or increased productivity 15

16. Telework Exchange is a public-private partnership that: • Builds a virtual telework community • Provides the first framework to quantify the value of telework – financial and environmental cost of commuting • Generates an information clearinghouse to share best practices and rate teleworking tools • Delivers a forum for targeted, audience-specific telework education www.teleworkexchange.com 16

17. Thank You. For More Information Contact: Cindy Auten Telework Exchange cauten@teleworkexchange.com (703) 489-1185 17