Transportation and transport links are increasingly important factors in the choice of a particular employer. Companies use a well-considered transportation strategy to meet the employees' requirements. Their transportation budget offers their employees more choice.
"A flexible pay and transportation plan keeps companies competitive and helps to attract and retain staff. Alternative, more sustainable transportation is also an increasingly important part of the range of fringe benefits. The transportation budget offers a solution in this regard," Tania Pittoors, Director People & Change at KPMG, says.
"The transportation budget encourages the use of environmentally friendly cars and the option of alternative sustainable means of transport. This is also useful from an HR point of view. Employees are more responsibly opting for sustainable transportation solutions. A company that understands and responsibly develops this, will modernize and strengthen its employer brand. This is absolutely necessary in the current tight labor market. The employer brand is becoming more important to reach and persuade talented people."
Responsible and involved
The Flex Reward Tool supports and facilitates this strategy. "Employees who want to return their company car, take a smaller model or use an electric bicycle or scooter instead of an end-of-year bonus, can see the impact on their salary in a simulation. Even combined use of several methods of transport is possible, for example with one of the numerous transportation apps. All the benefits are instantly clear. This allows employees to make well-considered choices and increases their sense of involvement."
The employer can also use the tool for communicating about the flexible pay options with its employees. For example, clear fact sheets will tell employees what will happen with their bicycle leasing contract if they decide to leave the company, or what the tax and financial consequences are of opting for an internet connection, smartphone or tablet for teleworking.
The primary purpose of this online solution for cafeteria plans and flexible transportation is to automate the associated administration. Companies therefore avoid any additional administrative hassle. It is equally important that the tool allows employees to take control of their transportation themselves.
This must be embedded in a broader HR strategy. De tool is an important and simple tool in this respect, but everything must be part of the employer's overall vision. This certainly also involves clear communication with employees and coaching on the use of the tool and to encourage people's behavior as well.
Diverse and flexible
A one-size-fits-all solution has become outdated. "The employee population is increasingly diverse, as people retire at a higher age. There are now many generations on the shop floor. People's needs also change during the various stages in their lives. Employees want to make more personal choices themselves," Tania Pittoors concludes.
For example, the needs of an employee with young children are different from those of a more mature employee. The tool enables employees to adjust their transportation and salary package to the stage of life and specific situation they are in."
The tool is only a first step in the introduction of flexible remuneration.