Intel Ireland, one of the State's largest employers, is not waiting for the Budget to act on childcare. The computer chip manufacturer has introduced a £600,000 (€761,843) child and dependant care programme aimed at helping its employees balance the demands of home and work.

As part of the initiative, Intel is setting up an in-house referral agency to help staff find suitable childcare from providers within an approximate 30-mile radius of its plant in Leixlip, Co Kildare.

Some £300,000 of the fund will be invested by Intel in a childcare development fund, which will be used to develop and improve creche facilities in the vicinity of the Leixlip base. The fund will be used to provide once-off grants, ranging from £5,000 to £30,000 per creche, to assist existing and potential providers to develop, expand or establish facilities in the community.

To qualify, the creches must cater for a minimum number of "Intel children". Intel Ireland employs more than 3,500 people in Leixlip and there are approximately 750 children of staff.

The company's human resources manager, Mr Larry Kelly, is co-ordinating the initiative. He says there will be no subsidy for employees availing of the Intel-sponsored creches and the creches will not be Intel-exclusive in any way.

The programme is something of a pilot for Intel, Mr Kelly says.

"The Irish initiative is the first to be launched in Intel worldwide.

"The company is very positive towards it and may use it as a model."

Although the programme is primarily aimed at childcare, Mr Kelly wants employees who are caring for an elderly or dependent relative to be included as well.

"The idea is to get to know the employees' needs and then see what we can do," he says.

To promote the initiative Intel has established Family Links, an on-site referral and information service run by the US care service specialist Bright Horizons.

Family Links will be staffed by two people and will provide consultation, information and assistance to all permanent Intel employees seeking help with their care requirements.

The service will only refer employees to childcare providers who have been notified and inspected by the area health boards.

The regulations apply to preschools, playgroups, day nurseries, creches and childminders looking after more than three children.

Bright Horizons is a leading provider of employer-sponsored childcare in multinational companies.

Its first move into the European market took place when it acquired a British company in July.

Intel is also researching the possibility of providing an onsite creche and, if it goes ahead, it is likely Bright Horizons will run it.

A decision from the company on the issue is expected next summer after Intel's worldwide assessment of the subject is completed.