AFFIRMATIVE ACTION FOR THE DISABLED

It is the policy of the Bank to provide equal job opportunity for persons who are disabled. We will not discriminate against any person because of a physical or mental disability provided the disability does not impair the person's ability to perform a particular job.

This year, the Americans with Disabilities Act (ADA) will take effect. As part of the Bank's commitment to Equal Employment Opportunity and the ADA, the Bank's physical facilities have been reviewed to determine if any structural limitation to the disabled exists. In addition, all Personnel policies will be reviewed to ensure total compliance with provisions included in the ADA. The Bank will continue its contact with the International Center for the Disabled and an

officer serves on its Special Committee for Placement.

Additionally, the Bank will provide, upon request, special counseling for disabled employees in all work-related matters.

INTERNAL GRIEVANCE PROCEDURE

An important element of the Bank's Equal Employment Opportunity policy is the investigation and resolution of any employee grievance relating to discrimination because of race, color, religion, national origin, sex, sexual orientation, age or disability. Any employee who believes that he or she has been discriminated against or subject to unlawful harassment should discuss the grievance with his or her supervisor, assistant chief, chief or manager, or with a counselor in the Personnel Department.

Any employee who does not wish to go to his or her area management or to the Personnel Department may bring the grievance to the Equal Employment Opportunity Officers. A finding by the Equal Employment Opportunity Officers may be appealed to either the First Vice President or the President.

APPENDIX I

AFFIRMATIVE ACTION ACCOMPLISHMENTS DURING 1991

Recruitment

Increased emphasis on senior staff and MBA/MA minority recruitment. Given the Bank's increasing need for professionals and master's level candidates, we undertook various recruitment initiatives to target this group.

• attended Columbia University Black Business (MBA) Association Conference;

established affiliations with the national president and the regional president of the National Black MBA Association as well as the regional president of the National Society of Hispanic MBA's;

• sponsored for the first time a booth at the job fair of the National Black MBA Association conference;

• identified minority publications for placement of national advertisements next year (Hispanic Magazine, Minority MBA Magazine and Black Enterprise magazine).

Increased contact with minority organizations on campuses where we recruit. A number of information sessions were conducted on campus and in the Bank which targeted minority graduate and undergraduate students:

• Rutgers Minority Career Fair

• Howard University Finance Club

• Princeton University Hispanic Business Society Job Fair

• A Predominantly Minority Fraternity at Princeton University

• Manhattan College Minority Job Fair

In addition, one-on-one networking occurred between Bank staff members and career counselors and economics professors at Morehouse College, and with a Board member from the Consortium for Graduate Study in Management (a group assisting talented minorities pursuing graduate degrees) in an effort to further strengthen our access to sources of talented minority candidates.

Improved communications and follow-up with minority summer interns. Summer interns are an excellent source of publicity for the Bank on their campuses. Therefore, we initiated efforts to maintain contact with the interns and keep them informed of activities at the Bank. We encouraged interns to participate in our on-campus information sessions and to refer candidates to the Bank.

Attended a seminar sponsored by the Hispanic Association of Colleges and Universities (HACU). We attended a seminar focusing on the recruitment and retention of Hispanic applicants and derived a variety of ideas on how to effectively recruit talented Hispanic students.

Hosted an ADA Training Session. The Bank hosted a program on the Americans with Disabilities Act (ADA) to discuss the Act, its implications, and its implementation. Speakers were provided by the Federation of the Disabled. The seminar was attended by several major employers in the metropolitan area.

Development and Retention

Implementation of new centralized Management Development Initiatives. New management development initiatives have been designed to replace the former Management Training Program (MTP) and Executive Training and Development Program (ET&D). A training curriculum has been designed to identify and develop senior staff members with potential to become chiefs/staff directors. In addition, the initiatives are designed to incorporate chiefs/staff directors into the Bank's management team by providing increased flexibility. As with all our Personnel programs, representation of minorities and females is encouraged. Actively monitored the progress of high potential minorities and females in the Bank. The Personnel Officers have actively monitored the promotion, transfer, performance appraisals and assignments of minorities and females in the Bank through frequent dialogue with area management.

Encouraged mentor relationships. A number of officers were contacted and encouraged to develop mentor relationships with minority and female employees to provide a support and counseling structure, as well as offer broader management perspectives.

Management Awareness of Employee Development and Feedback

Focus Groups. The Bank used focus groups, comprised of minorities, females, and non-minorities at various management levels (chief and officers) to provide feedback on many of the Bank's management and development initiatives such as coaching and counseling, performance appraisals and the management development curriculum.

Reviewed sexual harassment program. The Personnel Officers, along with officers from other areas of the Bank, reviewed programs on sexual harassment in anticipation of a presentation to management on this topic in 1992.

Inclusion of sexual orientation in the Bank's equal employment opportunity policy.
The prohibition of discrimination on the basis of sexual orientation was included in the
Bank's formal equal employment opportunity policy for the first time.

Community Involvement

Classroom Inc. The Bank is participating in a pilot program designed to teach high school students practical business skills using PC-based simulation models. Two senior Bank officers and two senior staff members are participating as mentors to students at Franklin D. Roosevelt High School in Brooklyn. A senior officer serves as a member of Classroom Inc.'s Business Advisory Board.